Gabraile Company Acquired Itsy Inc

Multiple Choice

Gabraile Company acquired Itsy Inc.for a price that was substantially less than the fair value of the identifiable asset acquired.The difference between the fair value of the assets and the bargain purchase price is ________.

A) recorded as negative goodwill
B) reported as a gain that increases income from continuing operations
C) allocated to reduce carrying value for each purchased asset
D) reported as a gain that increases other comprehensive income