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On January 1,2019,Red Company Purchased Patriot Shop for $400,000 Cash

Question 94

Multiple Choice

On January 1,2019,Red Company purchased Patriot Shop for $400,000 cash in a merger transaction.Red Company received the assets listed below and assumed accounts payable owed by Patriot to its suppliers in the amount of $30,000. On January 1,2019,Red Company purchased Patriot Shop for $400,000 cash in a merger transaction.Red Company received the assets listed below and assumed accounts payable owed by Patriot to its suppliers in the amount of $30,000. What amount of goodwill will be recorded in the transaction? A) $35,000. B) $60,000. C) $50,000. D) $45,000. What amount of goodwill will be recorded in the transaction?


A) $35,000.
B) $60,000.
C) $50,000.
D) $45,000.

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