Question
On September 1, 2017, Swifty Corporation acquired Aumont Enterprises for a cash payment of $800,000. At the time of purchase, Aumont's balance sheet showed assets
On September 1, 2017, Swifty Corporation acquired Aumont Enterprises for a cash payment of $800,000. At the time of purchase, Aumont's balance sheet showed assets of $570,000, liabilities of $210,000, and owners' equity of $360,000. The fair value of Aumont's assets is estimated to be $830,000.
Compute the amount of goodwill acquired by Swifty.
Value assigned to goodwill$
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Financial Accounting and Reporting
Authors: Barry Elliott, Jamie Elliott
17th edition
978-0273778172, 027377817X, 978-1292080505
