Already have an account? Get multiple benefits of using own account!
Login in your account..!
Remember me
Don't have an account? Create your account in less than a minutes,
Forgot password? how can I recover my password now!
Enter right registered email to receive password!
Goodwill effect on ROI and operating income. Goodwill arises when one firm acquires the net assets of another firm and pays more for those net assets than their current fair value. Suppose that Target Co. had operating income of $180,000 and net assets with a fair value of $600,000. Takeover Co. pays $900,000 for Target Co.'s net assets and business activities.Required:a. How much goodwill will result from this transaction?b. Calculate the ROI for Target Co. based on its present operating income and the fair value of its net assets.c. Calculate the ROI that Takeover Co. will earn if the operating income of the acquired net assets continues to be $180,000.d. What reasons can you think of to explain why Takeover Co. is willing to pay $300,000 more than fair value for the net assets acquired from Target Co.?
usaco a domestic corporation owns all of the stock of fsubco a foreign corporation. fsubco manufactures widgets and
matt and shanekwa ages 45 and 44 respectively file a joint tax return for 2011. they provided all of the support for
Additional information about the Flower Shoppe that is needed for financial-statement preparation:
What is the definition of being self-employed? What distinguishes a self-employed individual from an employee? Why is this distinction important? Explain.
Your company completed the site work for the South Pointe office complex. The costs are shown in Figure 11-3. The site concrete labor and landscaping were done by subcontractors.
What is Omega's taxable income for the current year, assuming qualified production activities income is $20,000?
A detailed analysis and evaluation of company'ssolvency , liquidity and profitability position. Develop common-sized income statements for most recent two years, and comment on items which you deem important.
ohare companys only asset as of january 1 2010 was a limousine. during 2010 only the following three transactions
During 2010, 4,000,000 packages of light bulbs are sold, and 140,000 $1 rebates are mailed to customers. What is the rebate expense and liability, respectively, shown on the 2010 financial statements dated December 31?
warranty expense. woodmier lawn products introduced a new line of commercial sprinklers in 2008 that carry a one-year
parrett corp. acquired one hundred percent of jones inc. on january 1 2009 at a price in excess of the subsidiarys fair
the gross earnings of the factory workers for vargas company during the month of january are 66000. the employers
Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!
whatsapp: +1-415-670-9521
Phone: +1-415-670-9521
Email: [email protected]
All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd