Question: When applying the fair market value or the cost method, how is the excess of cost over book value calculated and accounted for?Multiple ChoiceThe excess

When applying the fair market value or the cost method, how is the excess of cost over book value calculated and accounted for?Multiple ChoiceThe excess is allocated to goodwill. The excess is ignored. The excess is allocated to the difference between fair value and book value multiplied by the percent ownership of current assets. The excess is added to the net book value and then multiplied by the percent ownership of net assets. The excess is allocated to the difference between fair value and book value multiplied by the percent ownership of total assets.

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