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  3. Study Set
    Advanced Accounting Study Set 14
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    Exam 1: Introduction to Business Combinations and the Conceptual Framework
  5. Question
    Estimating the Value of Goodwill to Be Included in an Offering
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Estimating the Value of Goodwill to Be Included in an Offering

Question 3

Question 3

Essay

Estimating the value of goodwill to be included in an offering price can be done under several alternative methods. The excess earnings approach is frequently used. Identify the steps used in this approach to estimate goodwill.

Correct Answer:

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