1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
iris [78.8K]
3 years ago
15

The balance sheet of Cattleman's Steakhouse shows assets of $86,800 and liabilities of $14,800. The fair value of the assets is

$89,600 and the fair value of its liabilities is $14,800. Longhorn paid Cattleman's $84,020 to acquire all of its assets and liabilities. Longhorn should record goodwill on this purchase of:
Business
1 answer:
xxMikexx [17]3 years ago
6 0

Answer:

The goodwill is $9,220

Explanation:

Goodwill is the excess of purchase consideration paid to acquire a business over the fair value of net assets acquired.

Fair value of net assets acquired is the difference between the fair of assets acquired over the fair value of liabilities taken up which is shown below.

Net assets=$89,600-$14,800

Net assets =$74,800

Since purchase consideration paid is $84020

Goodwill=$84,020-$74800

Goodwill=$9,220

The goodwill of $9220  represents the premium paid over the net assets of Catteman's Steakhouse as a compensation to the owners of the business in return for their efforts of running the business and see go through different phases of development since the establishment of the business.

You might be interested in
A manufacturing company has annual sales of $180,000 and inventory of $40,000. The inventory turnover ratio for the company is _
NISA [10]

Answer:

4.5

Explanation:

Inventory refers to the goods that a company has in its stock. Inventory includes raw materials and finished goods sold by the company.

Inventory turnover refers to the number of times a company sells and replaces its inventory during a given period.

Annual sales of a manufacturing company =\$180,000

Inventory =\$40,000

Inventory turnover ratio for the company = Sales/Inventory

=\frac{180,000}{40,000} =4.5

6 0
3 years ago
The Coase Theorem states that
choli [55]

Answer:B. if transaction costs are​ low, private bargaining will result in an efficient solution to the problem of externalities.

Explanation:

The coarse theorem:

If there is a conflict between parties this will lead to an effecient results irrespective of who won the right to the property as long as the transaction cost related to the price negotiation is insignificant.

7 0
4 years ago
How long should you wait before republishing a piece of content to a new website? You shouldn’t wait. Republish it immediately.
Oliga [24]

Answer:

The correct answer is Two weeks.

Explanation:

If you publish twice in a week, in the next you publish ten times, once in the third week and again ten times the next, your visits will take it very strangely. One of the ways to maintain a loyal audience is precisely to make her know the frequency of your blog post.

Only by having this regularity, your visitors will know how often they should visit your website.

In this way you eliminate the likelihood of someone visiting your blog and feeling frustrated when they did not find anything new when it was for that reason that they accessed, or finding 15 new posts when he hoped to find only 1.

8 0
3 years ago
Assume that because of a new law, the types of significant transactions a partnership engages in are no longer lawful. two of th
hammer [34]
No thsy will have to sell their share
3 0
3 years ago
Neutrino Industries stock trades at $49 per share and there are 120 million shares outstanding. The management would like to rai
Gelneren [198K]

Answer:

Neutrino Industries must sell <u>8.68 million shares</u> to raise $400 million.

Explanation:

To calculate this, let B represents the number of shares Neutrino Industries must sell. Therefore, we have:

Gross proceeds = $49 * B, or $49B

Underwriter charges = 6% * $49B = $2.94B

To raise $400 million, we deduct the underwriter charges from gross proceeds and solve for B as follows:

$49B – $2.94B = $400,000,000

$46.06B = 400,000,000

B = 400,000,000 / 46.06

B = 8,684,324.79 shares, or 8.68 million shares.

Therefore, Neutrino Industries must sell <u>8.68 million shares</u> to raise $400 million.

4 0
4 years ago
Other questions:
  • Jean paid $18,489 for a new car. calculate the total cost of the car if she financed it at an interest rate of 3.5% for 4 years.
    15·2 answers
  • How does a deductible affect insurance?
    13·1 answer
  • Sara is an administrator at a bank. sara eats plenty of fruits, vegetables, whole grains, legumes, and lean meats. she is of nor
    5·1 answer
  • Which of these is not a result of regular exercise?
    15·1 answer
  • Marketing research conducted by a consumer products producer reveals that some consumers buy toothpaste to whiten their​ teeth,
    10·1 answer
  • Although True Ion Inc. and One Electro Inc. operate in the same consumer electronic industry, True Ion Inc. has better sales and
    7·1 answer
  • You should complete job applications in pencil so you can erase your mistakes.
    12·2 answers
  • At which step of the performance planning and appraisal process would an employee be placed on a performance improvement plan?
    15·1 answer
  • ______ economics considers the desirability of certain aspects of the economy and underlies expressions of support for particula
    8·1 answer
  • An economy has a monetary base of 1,000 $1 bills. calculate the money supply in scenarios a - d. then answer part e.
    9·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!