Suppose company X purchases Y enterprises for 120 million in cash. for purposes of the...

90.2K

Verified Solution

Question

Accounting

Suppose company X purchases Y enterprises for 120 million in cash. for purposes of the acquisition, Y enterprises fixed assets were appraosed at 95 million. further, assume Y enterprises has working capital of 15 million and no long-term debt. if Company X uses the purchase accounting method to account for the acquisition, goodwill of ___ is created.

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students