Question: Question 27 (3 points) Assume that the following balance sheets are stated at book value. Suppose the fair market value of acquired firm's fixed assets
Question 27 (3 points) Assume that the following balance sheets are stated at book value. Suppose the fair market value of acquired firm's fixed assets is $9,000 versus the book value shown. The acquiring firm pays $19,000 for the acquired fimm and raises the needed funds through an issue of long-term debt. Assume that the purchase method of accounting is used Current assets Net fixed assets $4,000 Acquiring Firm Current $5,000 liabilities 25,000 Long-term debt Equity $30,000 Total 6,000 20,000 $30,000 Total 5 Current assets Net fixed assets $2,000 Acquired Firm Current $3,000 liabilities 7,000 Long-term debt Equity $10,000 Total B 5.000 3,000 $10,000 Total What is the value of goodwill that should be shown on the post-merger balance sheet? Enter your answer in the box shown below as dollars with 2 digits to the right of the decimal point Your
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