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36. Trabant Co purchased all of the ordinary share capital of Skoda Co during 20X8. On this date the fair value of the net

36. Trabant Co purchased all of the ordinary share capital of Skoda Co during 20X8. On this date the fair

36. Trabant Co purchased all of the ordinary share capital of Skoda Co during 20X8. On this date the fair value of the net assets of Skoda Co was $15 million. The terms of the purchase agreement provided for immediate cash consideration of $10 million and a further $10 million deferred for 12 months. Trabant Co paid its advisors $1 million in costs directly related to the acquisition. Trabant Co's cost of capital is 6%. What goodwill arises on the acquisition? $4 434 000 $5 434 000 $5 600 000 $6 600 000 ABCD [ 1 1 [ 1 [ [ 36. Trabant Co purchased all of the ordinary share capital of Skoda Co during 20X8. On this date the fair value of the net assets of Skoda Co was $15 million. The terms of the purchase agreement provided for immediate cash consideration of $10 million and a further $10 million deferred for 12 months. Trabant Co paid its advisors $1 million in costs directly related to the acquisition. Trabant Co's cost of capital is 6%. What goodwill arises on the acquisition? $4 434 000 $5 434 000 $5 600 000 $6 600 000 ABCD [ 1 1 [ 1 [ [

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