In 2014, First Company purchased Second Company for $16,000,000 cash. At the time of purchase,...
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In 2014, First Company purchased Second Company for $16,000,000 cash. At the time of purchase, Second Company's assets had a fair market value of $28,000,000 and the liabilities had a fair market value of $13,000,000. At the time of purchase, Second Company's assets had a book value of $10,000,000 and the liabilities had a book value of $7,000,000. What amount of goodwill is recorded?
Select one:
a. $13,000,000
b. $1,000,000
c. $3,000,000
d. $12,000,000
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Inventory turnover is:
Select one:
a. 4.90.
b. 4.53.
c. 4.22.
d. 3.96.
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