Nebulus Corporation owns 30% of the voting stock of Suite Company. It reports the 30% interest as an equity method investment, with a current carrying value of $32,000,000 and a market value of $45,000,000. Nebulus acquires the remaining 70% interest for $120,000,000 in cash. At that time, the fair value of Suite's identifiable net assets was $125,000,000, and Suite's book value was $45,000,000. As part of the acquisition entry, Nebulus records:A) A gain of $13,000,000, in income. B) Goodwill of 27,000,000. C) Goodwill of $107,000,000. D) A gain of $5,000,000, in income.
Answers (1)
Know the Answer?
Not Sure About the Answer?
Find an answer to your question ✅ “Nebulus Corporation owns 30% of the voting stock of Suite Company. It reports the 30% interest as an equity method investment, with a ...” in 📘 Business if you're in doubt about the correctness of the answers or there's no answer, then try to use the smart search and find answers to the similar questions.
Search for Other Answers
You Might be Interested in
In 2018, Cindy is married and files a joint return. She operates a sole proprietorship in which she materially participates. Her proprietorship generates gross income of $225,000 and deductions of $525,000, resulting in a loss of $300,000.
Answers (1)
In an oligopoly, each firm knows that its profits a. depend only on how much output it produces. b. depend only on how much output its rival firms produce. c. depend on both how much output it produces and how much output its rival firms produce. d.
Answers (1)
Which of the following does not influence the consumer when he or she is deciding whether or not to buy a product? A. internal factors B. marketing C. external factors D. weather
Answers (1)
Alexandra wants to play soccer & also work at McDonald's. She cannot do both so she decides to play soccer. What is her opportunity cost?
Answers (1)
Governments shoulder the computer-related ethical responsibilities of entire countries and cultures. these responsibilities generally fall into two categories:
Answers (1)
New Questions in Business
SnowBlowers, Inc. is targeting consumers in the northern regions of the United States and focusing on giving consumers practical and functional reasons to buy its snowblowers. What type of ad is SnowBlowers, Inc. using?
Answers (1)
Having a video that skips or looks grainy is an example of O A. not enough media O B. too much media O C. bad media O D. irrelevant media
Answers (2)
15. Physical counts of inventory: A) Are not necessary under the perpetual system. B) Are necessary to adjust the Inventory account to the actual inventory available. C) Must be taken at least once a month.
Answers (2)
What role does specialization play in the productivity of an economy
Answers (1)
What step must be taken before investigators can determine if data tampering has occurred?
Answers (1)