Kangaroo Ltd acquired the following net assets, constituting a business, from Wallaby Ltd at an acquisition...

Transcribed Image Text:

Kangaroo Ltd acquired the following net assets, constituting a business, from Wallaby Ltd at an acquisition cost of $52,000. Plant $35,000, Inventory $8,000, Accounts receivable $7,500, Accounts payable $3,500 all measured at their fair values. The amount of goodwill acquired was: a. $52,000 b. $5,000 c. $0 d. $1,500 Kangaroo Ltd acquired the following net assets, constituting a business, from Wallaby Ltd at an acquisition cost of $52,000. Plant $35,000, Inventory $8,000, Accounts receivable $7,500, Accounts payable $3,500 all measured at their fair values. The amount of goodwill acquired was: a. $52,000 b. $5,000 c. $0 d. $1,500