Lake Incorporated purchased all of the outstanding stock of Huron Company paying $951,000 cash. Lake assumed all of the liabilities of Huron. Book values and fair values of acquired assets and liabilities were: Book Value Fair Value Current assets (net) $ 130,200 $ 123,200 Property, plant, equpiment (net) 616,000 768,000 Liabilities 150,100 175,000 Lake would record goodwill of:
Lake Incorporated purchased all of the outstanding stock of Huron Company paying $951,000 cash. Lake assumed all of the liabilities of Huron. Book values and fair values of acquired assets and liabilities were: Book Value Fair Value Current assets (net) $ 130,200 $ 123,200 Property, plant, equpiment (net) 616,000 768,000 Liabilities 150,100 175,000 Lake would record goodwill of:
Cornerstones of Financial Accounting
4th Edition
ISBN:9781337690881
Author:Jay Rich, Jeff Jones
Publisher:Jay Rich, Jeff Jones
ChapterA2: Investments
Section: Chapter Questions
Problem 30E
Related questions
Question
Lake Incorporated purchased all of the outstanding stock of Huron Company paying $951,000 cash. Lake assumed all of the liabilities of Huron. Book values and fair values of acquired assets and liabilities were:
| Book Value | Fair Value | |
|---|---|---|
| Current assets (net) | $ 130,200 | $ 123,200 |
| Property, plant, equpiment (net) | 616,000 | 768,000 |
| Liabilities | 150,100 | 175,000 |
Lake would record
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