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A and B are in partnership. They decide to let C join the partnership on 31 December 20X8. On that date the net book
A and B are in partnership. They decide to let C join the partnership on 31 December 20X8. On that date the net book value of the net assets is $500,000. The partners agree that the fair value of the net assets is $750,000 at 31 December 20X8. The business is valued at $850,000 by a firm of valuers for the purposes of calculating the amount that C will pay to buy a share in the partnership. What is the value of goodwill?
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Using Financial Accounting Information The Alternative to Debits and Credits
Authors: Gary A. Porter, Curtis L. Norton
7th Edition
978-0-538-4527, 0-538-45274-9, 978-1133161646
