A reorganization value in excess of amounts assignable to identifiable assets is:
A)not reported.
B)reported as an intangible asset called Reorganization Value in Excess of Amounts Allocable to Identifiable Assets.
C)reported as Goodwill Associated with Exit or Disposal Activities.
D)passed on to prior shareholders of the company.

Question

Quizplus · Accepted Answer

The reorganization value in excess of amounts assignable to identifiable assets is reported as an intangible asset called Reorganization Value in Excess of Amounts Allocable to Identifiable Assets. This is in line with the generally accepted accounting principles (GAAP).

A Reorganization Value in Excess of Amounts Assignable to Identifiable