16) Joe, Inc. purchased a competitor in 2010 for $950,000. The results of an appraisal of the value of the assets and liabilities of the competitor is below: Fair Value ($) Cash 100,000 Accounts Receivable 200,000 Inventory 1,000,000 Property, Plant and Equipment 1,500,000 Accounts Payable 810,000 Notes Payable 1,200,000 Prepare the journal entry to record the acquisition? 17) Related to (16) above, an internal analysis of Joe, Inc. performed on December 31, 2012 indicated that the fair value of the company was $5,000,000, including goodwill that was recorded for an acquisition of a competitor in 2010. The internal analysis also indicated that the fair value of Joe, Inc.’s assets and liabilities (other than goodwill) on December 31, 2012 were: Fair Value ($) Cash 400,000 Accounts Receivable 550,000 Inventory 3,500,000 Property, Plant and Equipment 4,950,000 Accounts Payable 1,600,000 Notes Payable 2,900,000 Prepare any necessary journal entry related to the above information.

17) Related to (16) above, an internal analysis of Joe, Inc. performed on December 31, 2012 indicated that the fair value of the company was $5,000,000, including goodwill that was recorded for an acquisition of a competitor in 2010. The internal analysis also indicated that the fair value of Joe, Inc.’s assets and liabilities (other than goodwill) on December 31, 2012 were: Fair Value ($) Cash 400,000 Accounts Receivable 550,000 Inventory 3,500,000 Property, Plant and Equipment 4,950,000 Accounts Payable 1,600,000 Notes Payable 2,900,000 Prepare any necessary journal entry related to the above information.

I NEED THE ANSWER FOR 17! SHOW ME STEP BY STEP PLEASE!

THE ANSWER IS  Loss on Impairment 60,000 Goodwill 60,000

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