On October 1, 2007, JIMMY Acquired the net assets of NEUTRON which resulted to goodwill. When JIMMY issued its December 31, 2007 financial statements, the valuation of an acquired trademark was incomplete. JIMMY used $10,000,000 as provisional fair value of trademarks and determined a 5-year amortization life. JIMMY appropriately disclosed in its December 31, 2007 financial statements that the trademark was measured at a provisional amount. On April 30, 2008, the valuation of the trademark was finalized. The fair value of the acquisition date amounted to $212,000,000. How much is the increase (decrease) of the Goodwill in December 31, 2008?
On October 1, 2007, JIMMY Acquired the net assets of NEUTRON which resulted to goodwill. When JIMMY issued its December 31, 2007 financial statements, the valuation of an acquired trademark was incomplete. JIMMY used $10,000,000 as provisional fair value of trademarks and determined a 5-year amortization life. JIMMY appropriately disclosed in its December 31, 2007 financial statements that the trademark was measured at a provisional amount. On April 30, 2008, the valuation of the trademark was finalized. The fair value of the acquisition date amounted to $212,000,000. How much is the increase (decrease) of the Goodwill in December 31, 2008?
Intermediate Accounting: Reporting And Analysis
3rd Edition
ISBN:9781337788281
Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Chapter12: Intangibles
Section: Chapter Questions
Problem 15E
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On October 1, 2007, JIMMY Acquired the net assets of NEUTRON which resulted to
How much is the increase (decrease) of the Goodwill in December 31, 2008?
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