On January 1,2016,Poole Company purchased 75% of the common stock of Swimmer Company.Separate balance sheet data for the companies at the combination date are given below: Determine below what the consolidated balance would be for each of the requested accounts on January 2,2016.
What amount of goodwill will be reported?
A)$26,667.
B)$20,000.
C)$42,000.
D)$86,667.

Question

On January 1,2016,Poole Company purchased 75% of the common stock of Swimmer Company.Separate balance sheet data for the companies at the combination date are given below:  Determine below what the consolidated balance would be for each of the requested accounts on January 2,2016.
What amount of goodwill will be reported?
A)$26,667. 
B)$20,000. 
C)$42,000. 
D)$86,667.

Quizplus · Accepted Answer

The Answer of On January 1,2016,Poole Company purchased 75% of the common stock of Swimmer Company.Separate balance sheet data for the companies at the combination date are given below:  Determine below what the consolidated balance would be for each of the requested accounts on January 2,2016.
What amount of goodwill will be reported?
A)$26,667. 
B)$20,000. 
C)$42,000. 
D)$86,667.

On January 1,2016,Poole Company Purchased 75% of the Common Stock