Question
65.Cobra Ltd acquired the business of Rattle Ltd for a cash payment of $820 000. The carrying amount of Rattle Ltd's assets at the time
65.Cobra Ltd acquired the business of Rattle Ltd for a cash payment of $820 000. The carrying amount of Rattle Ltd's assets at the time of purchase was $690 000 while the independent fair value was $760 000. There were no liabilities. What is the value of the purchased goodwill recorded by Cobra Ltd?
Group of answer choices
1.$60 000
2.$130 000
3.$0
4.$70 000
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Accounting A Smart Approach
Authors: Mary Carey, Jane Towers-Clark, Cathy Knowles
2nd Edition
0199674914, 978-0199674916
