Blue Sky Company's 12/31/21 balance sheet reports assets of $7000000 and liabilities of $2800000. All of Blue Sky's assets' book values approximate their fair value, except for land, which has a fair value that is $420000 greater than its book value. On 12/31/21, Horace Wimp Corporation paid $7140000 to acquire Blue Sky. What amount of goodwill should Horace Wimp record as a result of this purchase?
a. $140000
b. $2940000
c. $0
d. $2520000
Answers (1)
Know the Answer?
Not Sure About the Answer?
Find an answer to your question 👍 “Blue Sky Company's 12/31/21 balance sheet reports assets of $7000000 and liabilities of $2800000. All of Blue Sky's assets' book values ...” in 📗 Business if the answers seem to be not correct or there’s no answer. Try a smart search to find answers to similar questions.
Search for Other Answers
You Might be Interested in
Fazel Company makes and sells paper products. In the coming year, Fazel expects total sales of $19,730,000. There is a 3% commission on sales.
Answers (1)
ABC Company has issued 10% cumulative preferred stock. Two years ago, ABC paid a 6% preferred dividend. Last year, ABC paid a 7% preferred dividend. This year, ABC wishes to pay a common dividend. The preferred shareholders must receive: A. 0% B.
Answers (1)
In a diversified company, the strategy-making hierarchy consists of: A. corporate or managerial strategy, a set of business strategies, and divisional strategies within each business. B.
Answers (1)
Curt's Casting manufactures metal parts in a large manufacturing facility. Curt's customers order 52,000 tons of castings each quarter. The facility has a practical capacity of 84,000 tons.
Answers (1)
If the U. S. dollar becomes weaker in international markets, the net effects will include an increase in both short run aggregate supply (SRAS) and aggregate demand. a decrease in short-run aggregate supply (SRAS) and an increase in aggregate demand.
Answers (1)
New Questions in Business
n a company's merit pay program, an individual's compa-ratio represents the individual's pay relative to company's average pay for that position. the individual's worth versus that of others in the organization.
Answers (1)
Some interview questions are designed to rattle you to see how you deal with stress. True or false.
Answers (2)
Organizational culture consists of three levels: Select one: a. assumptions, orientations, and beliefs. b. beliefs, values, and artifacts. c. artifacts, assumptions, and beliefs. d. assumptions, artifacts, and values.
Answers (1)
What term refers to a set amount of money kept in the cash register to make change with? A. Excess cash B. Standard cash stock C. Cash drop D. Cash float
Answers (1)
Torres travel's stockholders' equity at the beginning of march 2014 was $200,000. during the month, the company earned net income of $50,000 and paid dividends of $10,000. at the end of march 2014, what is the amount of stockholders' equity?
Answers (1)