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HAY Ltd incurred professional fees of $2000 to have the plant and equipment inspected and evaluated prior to the transaction. What is the journal entry
HAY Ltd incurred professional fees of $2000 to have the plant and equipment inspected and evaluated prior to the transaction. What is the journal entry of HAY Ltd to record the business combination? a. DR. Business $60000 CR. Cash $60000 b. DR. Net Assets $51000 DR. Goodwill $9000 CR. Cash $60000 c. DR. Inventories $12000 DR. Plant and Equipment $42000 DR. Goodwill $9000 CR. Wages Payable $3000 CR. Cash $60000 d. DR. Inventories $18000 DR. Plant and Equipment $39000 DR. Goodwill $6000 CR. Wages Payable $3000 CR. Cash $60000
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