Aqua Corp. purchased 30% of the common stock of Marcus Co. by paying $500,000. Of this amount, $50,000 is associated with goodwill.Required: Prepare the journal entry to record Aqua's investment.
What will be an ideal response?
The journal entry is:
| Investment in Marcus Co | 500,000 | |
| Cash | 500,000 | |
? | ||
| ? | ||
| The amount of goodwill does not affect the journal entry used to record the investment. | ||
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