In a business combination, the excess of the cost of the purchase over the fair value of the identifiable net assets purchased is
A) other assets.
B) indirect costs.
C) goodwill.
D) a bargain purchase.

Question

Quizplus · Accepted Answer

The excess of the cost of the purchase over the fair value of the identifiable net assets purchased is recorded as goodwill on the acquiring company's balance sheet.

In a Business Combination, the Excess of the Cost of the Purchase