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olchik [2.2K]
3 years ago
10

Assume Aircastle reported $20 million in goodwill on its acquisition of Broadvision. Assume the fair value of the earnout in agr

eement 1. declines by $0.5 million during the first year following the acquisition. Prepare the journal entry made by Aircastle to record the value change, assuming
Business
1 answer:
hoa [83]3 years ago
4 0

Answer:

Journal Entry

Dr. Contingent Consideration Liability $500,000

Cr. Goodwill $500,000

Explanation:

It is assumed that the decline in the fair value is the correction of the acquisition entry. It means due to this event the consideration liability and goodwill are overstated we need to rectify the balances.

Hence,

The contingent consideration liability will be debited to reduce the liability and goodwill will also be decreased by crediting the goodwill account.

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Answer:

Zully most likely has a manufacturing franchise

Explanation:

Based on the scenario being described within the question it can be said that Zully most likely has a manufacturing franchise. This is a franchising agreement in which the franchiser gives a manufacturer the right to produce and sell their products while also using their name and brand. Which is exactly what Zully is doing by selling Ford Vehicles.

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3 years ago
Her current campaign has a total investment of $25,500, generates 1,500 conversions, and has a CPA of $17. Which plan, built in
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A

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3 years ago
IRR in Excel!(CHAPTER 9) Your company is considering a new project opportunity. It would immediately receive $200. In return, in
oksian1 [2.3K]

Answer:

12.44%

Explanation:

Internal rate of return is the discount rate that equates the after-tax cash flows from an investment to the amount invested

IRR can be calculated with a financial calculator  

cash floe in yer0 = 200

cash flow in year 1 = -80

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cash flow in year 2 = - 60

cash flow in year 2 = - 40

irr = 12.44%

To find the IRR using a financial calculator:

1. Input the cash flow values by pressing the CF button. After inputting the value, press enter and the arrow facing a downward direction.

2. After inputting all the cash flows, press the IRR button and then press the compute button.  

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3 years ago
If a labor union successfully restricts the supply of labor to​ firms, and if the union is not able to influence the demand for​
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Answer:

(B) ​rises; decreases

Explanation:

  • As the labors are unable to motivate the other laborers of the firm in the organization then the wage rate will increase the form needs more and more laborers to work in the factory or the production units and hence the employment opportunities will decline as an upward movement along the demand curve.
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Which of the following is a step in the creation of an Operational Definition?
Lapatulllka [165]

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Recall the quote in the "first step" section of this site, "You can manage, what you can measure; you can measure, what you can define; you can define, what you can understand". ... It helps us build a clear understanding of a concept or a phenomenon so that it can be unambiguously measured.

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