Multiple Choice Accounting Questions (Simple)

Please answer the questions below

Question 17 (1 point) London Inc. paid $100,000 for 25% of the net assets of Aylmer Inc. The net assets of Aylmer Inc. are $300,000. How much goodwill should London Inc. record? ( a) $25,000 (b) $75,000 O c) 100,000 O d) none of the above Question 18 (1 point) When inventory declines in value below original (historical) cost, and this decline is considered other than temporary, what is the maximum amount that the inventory can be valued at? ( a) net realizable value ( b) selling price O c) historical cost () d) net realizable value reduced by a normal profit margin