On March 31, 2024, Wolfson Corporation acquired all of the outstanding common stock of Barney Corporation...

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On March 31, 2024, Wolfson Corporation acquired all of the outstanding common stock of Barney Corporation for $18,000,000 in cash. The book values and fair values of Barney's assets and liabilities were as follows: Current assets Book Value $7,000,000 12,000,000 1,100,000 Fair Value $ 8,500,000 15,000,000 1,600,000 Property, plant, and equipment Other assets Current liabilities Long-term liabilities Required: Calculate the amount paid for goodwill. Goodwill 5,000,000 5,000,000 7,000,000 6,500,000 On March 31, 2024, Wolfson Corporation acquired all of the outstanding common stock of Barney Corporation for $18,000,000 in cash. The book values and fair values of Barney's assets and liabilities were as follows: Current assets Book Value $7,000,000 12,000,000 1,100,000 Fair Value $ 8,500,000 15,000,000 1,600,000 Property, plant, and equipment Other assets Current liabilities Long-term liabilities Required: Calculate the amount paid for goodwill. Goodwill 5,000,000 5,000,000 7,000,000 6,500,000