What is meant by the term bargain purchase? How is it recorded?
Describe the meaning of bargain purchase, and explain the manner in which it would be recorded.
Goodwill: Goodwill is the good reputation developed by a company over years. This is recorded as an intangible asset, and is quantified when other company acquires. Goodwill should be recorded only when one company is acquired by another company. Goodwill value would be impaired, if the book value of goodwill is less than fair market value...
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