Multiple Choice
The balance sheet of Flo's Restaurant showed total assets of $600,000, liabilities of $160,000 and stockholders' equity of $440,000. An appraiser estimated the fair value of the restaurant assets at $680,000. If Alice Company pays $770,000 cash for the restaurant, what is the amount of goodwill?
A) $90,000
B) $170,000
C) $250,000
D) $230,000
Correct Answer:
Verified
Correct Answer:
Verified
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