Answer:
$10,000
Explanation:
The amount of excess land allocation attributed to the non controlling interest at the acquisition date is computed below;
Non controlling interest of acquisition date
= (Book value of land - Fair value of land) × 20%
Given that;
Book value of land = $125,000
Fair value of land = $75,000
Then,
Non controlling interest of acquisition date
= ($125,000 - $75,000) × 20%
= $50,000 × 20%
= $10,000
I think it's A! As someone's success might not be true, like getting money from your parents and considering yourself as if you've succeed in it by YOURSELF.
I hope it helped you!
I believe it would be Chapter 7, not sure though. I will let you know if it's correct.