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Question - On January 2, Payne Co. acquired Shelf Co. in a business combination that resulted in recognition of goodwill of 4200,000 having an expected benefit period of 10 years. Shelf is treated as a reporting unit, and the entire amount of the recognized goodwill is assigned to it. During the first quarter of the year, Shelf spent an additional $80,000 on expenditures designed to maintain goodwill. Due to these expenditures, at December 31, Shelf estimated that the benefit period of goodwill was 40 years. In its consolidated December 31 balance sheet, what amount should Payne report as goodwill?
a. 200,000
b. 252,000
c. 180,000
d. 280,000
Hubbard argues that the Fed can control the Fed funds rate, but the interest rate that is important for the economy is a longer-term real rate of interest. How much control does the Fed have over this longer real rate?
Coures:- Fundamental Accounting Principles: - Explain the goals and uses of special journals.
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