Burrough Corporation paid $80,000 to acquire all of Helyar Company's net assets. Helyar reported assets with a book value of $60,000 and fair value of $98,000 and liabilities with a book value and fair value of $23,000 on the date of combination. Burrough also paid $3,000 to a search firm for finder's fees related to the acquisition. What amount will be recorded as goodwill by Burrough Corporation while recording its investment in Helyar?
A. $8,000
B. $0
C. $5,000
D. $13,000
Answer: C
You might also like to view...
Identify the statements in which John McCall argues that strict liability is no more unfair than it would be to hold injured consumers accountable.
A. The consumer who is injured by a product is unfairly disadvantaged in the economic competition and is denied an equal opportunity to compete in the marketplace. B. Assigning the costs for injuries caused by defective products to other consumers of the product and to the shareholders of the company is more appropriate than assigning the costs to the injured consumer or to society at large. C. Compensation returns the parties to equal standing, and the economic competition can continue as a result. D. By holding the manufacturer liable, the costs are passed on, ordinarily through increased liability insurance costs, to those who stand to benefit from the product. E. A and C. F. B and D.
______ is a situation where the organization takes an adverse employment action against an employee because the employee brought discrimination charges against the organization or supported someone who brought discrimination charges against the company.
A. Retaliation B. Right-to-sue C. Adverse employment action D. Constructive discharge
________ allow you to include additional information that may interest the reader but is too detailed to include in the body of the proposal
A) Glossaries B) Executive summaries C) Cover messages D) Appendices E) Tables of Contents
Investment methods, such as net present value and internal rate of return, ________.
A) use simple interest calculations B) use net income amounts rather than cash flows C) focus on the payback period D) consider discounted cash flows