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Effectus [21]
4 years ago
14

Perch Co. acquired 80% of the common stock of Float Corp. for $1,600,000. The fair value of Float's net assets was $1,850,000, a

nd the book value was $1,500,000. The noncontrolling interest shares of Float Corp. are not actively traded. What amount of goodwill should be attributed to Perch at the date of acquisition?
Business
1 answer:
Mama L [17]4 years ago
4 0

Answer: $120,000

Explanation:

Purchase Price for 80%) $1,600,000 - (FV $1,850,000 × .80 = $1,480,000) = $120,000

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Which of the following should be included in the acquisition cost of a piece of equipment?
Mkey [24]

The correct answer is choice d, all are correct.

When calculating the acquisition cost of a piece of equipment it should be the all inclusive cost of the equipment. The cost should include all transportation, installation, site preparation, sales or other taxes and testing costs prior to placing the equipment into production.

6 0
3 years ago
What is the effect on the money supply when you transfer $150,000 from your checking account to your savings account?
Lina20 [59]

Answer:

Decrease in M1; No effect on M2

Explanation:

Monetary aggregates is as follows:

M1 consists of:

= Currency with the public + Checking/Demand deposits + Other deposits with the RBI

M2 consists of:

= M1 + Post office savings account deposits

Effect on M1:

If a person transfer money from checking account to savings account, so there is a fall in M1 because the amount in checking account is reduced.

Effect on M2:

If a person transfer money from checking account to savings account, then there is a fall in checking account and at the same time  there is a rise in the savings account. M1 is a component of M2.

Therefore, there will be no effect on M2.

3 0
3 years ago
To minimize the temptation for managers to act in their own self-interest, governance mechanisms exist for implementation consid
soldier1979 [14.2K]

Answer:

A board of directors that act in the best interests of the shareholders to create long term value.

Explanation:

Sarbane oxley acts is a law law that was created to protect the interest of every shareholder . One of its requirement is a good composition of the board of directors considering their skills and independent requirement. It also emphasize the need for strong compliance with ethical standard in the interest of the shareholders.

Therefore , one of the key responsibilities of the board of directors is to act in the best interests of shareholders to create long term values. By so doing , managerial behavior will be monitored for compliance to ethical standard

3 0
3 years ago
If during the signing appointment the borrower divulges that the property being financed is an investment property, while the lo
Svetradugi [14.3K]

Answer:

contact the lender's representative immediately before signing the documents.

Explanation:

The above is an example of Actual or Potential misrepresentation which falls under Code of Conduct 5.10. Once a notary signing agent notices that during the signing appointment, the information provided by the borrower differs from what is on the loan document, he should immediately report such false misrepresentation (potential or actual misrepresentation or falsehood known) witnessed by the NSA in connection with a transaction to the representative of the NSA.

By contacting the lender's representative, the purpose for obtaining the loan will be confirmed whether the property being financed is an investment property or for a primary residency otherwise the notary signing agent will be held responsible for any infraction if his signature is appended because he is expected to verify the authenticity of the information provided.

7 0
3 years ago
A company that is most motivated to make money has a
Tems11 [23]
<span>A company that is most motivated to make money has a letter D: profit motive. Profit motive is an economics term relating to an organization (specifically business) expected to earn more profit than the expenses they have given. This type of organization differs from nonprofit because NGOs are more on accomplishing their advocacy without expecting profits in return.</span>
6 0
3 years ago
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