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
FrozenT [24]
3 years ago
9

Ajax is reviewing its previous 100% acquisition of Baxter to determine if there is goodwill impairment. At December 31, 2020 Aja

x has recorded Goodwill of $330,000 on its books relating to this acquisition. At December 31, 2020, Baxter had a book value of net assets of $400,000 (excluding goodwill) and an estimated fair value for the company of $600,000. What is the amount (if any) of the goodwill write-off required to be booked by Ajax at December 31, 2020 under the FASB rules effective in 2020.
Business
1 answer:
Sedaia [141]3 years ago
7 0

Answer:

Baxter

The amount of the Goodwill write-off required to be booked by Ajax at December 31, 2020 under the FASB rules effective in 2020 is:

= $130,000.

Explanation:

a) Data and Calculations:

Recorded Goodwill = $330,000

Book value of net assets = $400,000

Book value of all assets = $730,000 ($400,000 + $330,000)

Estimated fair value of company = $600,000

Goodwill impairment = $130,000 ($730,000 - $600,000)

b) The Goodwill impairment of $130,000 arose when the book value or the carrying amount exceeded the estimated fair value.

You might be interested in
Which mode of transportation typically has the highest value-to-weight ratio? (Food for thought as you answer this question: Thi
mr Goodwill [35]

Option F, Air

Explanation:

The value to weight of an item is an indicator of the financial value per kilogram or kilo of an item. It is an important step for the development and strategy of the distribution chain.

If it is decided whether the cost savings in total inventory holding costs should be compared with savings on cost by means of cheaper transportation when shipments are made by sea, taking longer, than by air, usually the shorter one.

The diamonds and coal are a different example of the weight ratio. They are two types of carbon but they are of very different weight ratios. For diamonds, air and private jet charter can be well justified, depending on the size and value of the shipment.

7 0
4 years ago
When pay is made public, people evaluate how equitable their pay is in light of the pay other people are receiving. The problem
ddd [48]

Answer:

All things considered Dwight and Guillermo should pause for a minute to quiet their sentiments. They ought to ask themselves, Whether they merit a raise? In the event that the appropriate response is indeed, advise their manager to fix a period with the goal that they can examine their compensation. They ought to consistently be explicit about the subject of the gathering with the goal that it won't require some investment for their manager to comprehend the issue.  

Second, it isn't acceptable to make reference to explicit names or pay rates of other individual. This gathering is just among they and their chief, so they should concentrate on their exhibition and the worth they add to the organization. They should simply clarify their dedicated, understanding and the worth that they are adding to the organization, likewise ask their supervisor what would they be able to do to get a critical augmentation.  

Thirdly, they ought to consistently move toward their supervisor being set up with showcase information. They ought to be set up with data about their position and the position above and underneath their so they can examine their development probability in a definite way. After that on the off chance that they feel that they are meriting laborers who get an exceptionally low pay, disclose their musings to their chief.  

At last, they ought not feel baffled when their manager says no, rather ask him what precisely to do to get an expanded remuneration. They ought not remain in a similar organization when they found that their organization won't increment their compensation. Begin looking through employments as quickly as time permits. It might be upsetting and time-taking, however they will find a decent line of work with significant pay.

3 0
3 years ago
Drag the tiles to the boxes to form correct pairs.
Arada [10]

Answer:

WWW = indicates that the website  the World Wide Web

Domain Name= indicates the type of organization  that the website belongs to

Resource ID = indicates where the file resides  on a web server

Server Name= indicates name of the server  that hosts the website

Explanation:

8 0
3 years ago
For a manufacturer, measures of volume may include:
kobusy [5.1K]

Answer:

(D) Both number of units produced and amount of direct materials used in production are correct.

Explanation:

4 0
3 years ago
Read 2 more answers
What are the implications in formal communication to managers at a workplace
Nimfa-mama [501]

Formal communication ensures a proper channel of information flow between the superior and their corresponding subordinates. This results in a clear establishment of line of authority and workflow. Making responsibilities clear for subordinates is very efficient in this form of communication.

7 0
3 years ago
Other questions:
  • An antiques dealer buys a grandfather clock for $200. she sets the selling price at $350. when the clock doesn't sell after two
    10·1 answer
  • Straight Arrow unloaded two tankers worth of toxic waste at an important port in the country of Urithmea. A hundred workers work
    9·1 answer
  • Ebdino, a company that manufactures tires, observes that the sales of its traditional tires have declined drastically and that t
    5·1 answer
  • You purchase one IBM July 120 put contract for a premium of $5 (per share). You hold the option until the expiration date when I
    7·1 answer
  • The following statement is true for which levels of government?
    6·2 answers
  • Spencer wants to work in a field that relates to alternative energy sources. His research suggests these careers (see list below
    10·1 answer
  • Suppose that many seople who earn a living growing pumpkins decide they can make more money selling fruit smoothies and switch
    13·1 answer
  • Forten Company's current year income statement, comparative balance sheets, and additional information follow. For the year, (1)
    14·1 answer
  • Monique has held several different positions while attending high school. She has worked in retail sales, as a server at a resta
    13·1 answer
  • The flow of _____ capital is controlled by the processes of immigration, migration, and emigration.
    12·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!