Answered step by step
Verified Expert Solution
Question
1 Approved Answer
During 2005, eBay acquired four different companies. In the schedule below, the acquired companies are listed with the aggregate purchase price and with the estimated
During 2005, eBay acquired four different companies. In the schedule below, the acquired companies are listed with the aggregate purchase price and with the estimated acquisitionrelated costs (dollars in thousands). Acquired Company Aggregate Purchase Price Acquisition-related costs Rent.com $435,365 $2,000 International classified websites 81,584 1,300 Shopping.com 685,285 7,600 Skype 2,593,426 Not reported eBay acquired various websites when it acquired International classified websites. The excess of the purchase price over the fair value of net tangible assets and identifiable intangible assets was $71,771 thousand (or approximately 88% of the purchase price). What does this amount represent, and why is this not unusual for an acquisition of this type
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started