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ddd [48]
2 years ago
11

At the beginning of the year, Parent Company purchased all 500,000 shares of Sub Incorporated for $15 per share. Just before the

acquisition date, Sub’s balance sheet reported net assets of $6 million. Parent determined the fair value of Sub’s property and equipment was $1 million higher than reported by Sub. What amount of goodwill should Parent report as a result of its acquisition of a Sub?
Business
1 answer:
Free_Kalibri [48]2 years ago
5 0

Answer:

The amount of goodwill that Parent should report as a result of its acquisition of a Sub is $500,000

Explanation:

The calculate of the goodwill of a company at its acquisition you have to subtract the total fair market value of its assets and liabilities from the price paid.

For this case:

Price of purchase: 500,000 shares at $15 per share that is $7,500,000

Fair market value of its assets and liabilities is $7,000,000 ($6,000,000 + $1,000,000) The value of net assets reported by Sub's + $1,000,000 extra determined by parets as fair value.

$7,500,000 - $7,000,000 = $500,000

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Silver Mining is opening a new mineral extraction facility in the local town and will employ several thousand people. They have
TEA [102]

Answer:

Corporate Social Responsibility or CSR.

Explanation:

To put it simply, Corporate Social Responsibility means that a company is concerned and responsible about how their actions affect People, Planet and their Profits (3 P's)

Following are the generally accepted principles of CSR.

  1. Compliance with international commitments
  2. Compliance with international and national laws and regulations
  3. Maintenance of good corporate governance
  4. Communication and dialog with all stakeholders
  5. Commitment to Transparency
  6. Conservation and the promotion of the Environment
  7. Fiscal responsibility
  8. Protecting Human Rights
  9. Promotion of Social responsibility

5 0
2 years ago
Kushman Combines Inc. has $20,000 of ending finished goods inventory as of December 31, 2017. If beginning finished goods invent
just olya [345]

Answer:

The correct answer is A.

Explanation:

Giving the following information:

Kushman Combines Inc. has $20,000 of ending finished goods inventory as of December 31, 2017. If beginning finished goods inventory was $10,000 and the cost of goods sold was $50,000.

We need to use the following formula:

COGS= beginning finished inventory + cost of goods manufactured - ending finished inventory

50,000= 10,000 + cost of goods manufactured - 20,000

50,000 + 20,000 - 10,000= cost of goods manufactured

60,000= cost of goods manufactured

5 0
1 year ago
Procter and Gamble​ (PG) paid an annual dividend of $ 2.87 in 2018. You expect PG to increase its dividends by 8.0 % per year fo
nata0808 [166]

Answer:

$73.47

Explanation:

2.87 is the current dividend paid (D0)

Use that to find dividends for the next 5 years;

D1 = D0(1+g) ; g being the growth rate

D1 = 2.87(1.08) = 3.0996

D2 = 3.0996(1.08) = 3.3476

D3 =3.3476(1.08) = 3.6154

D4 = 3.6154(1.08) = 3.9046

D5 = 3.9046(1.08) = 4.2170

Next, find terminal cashflows;

D6 (yr 2024) = 4.2170 (1.03) = 4.3435

Find Present values of all the dividends using the 8% discount rate with the formula; PV = FV/(1+r)^{n}

PV(D1) = 2.87

PV(D2) = 2.87

PV(D3) = 2.87

PV(D4)= 2.87

PV(D5)= 2.87

PV of terminal value; PV(D6 onwards) = \frac{\frac{4.3435}{(0.08-0.03)} }{1.08^{5} }  = 59.1223

Sum up the PVs to find value per share;

$2.87 +$2.87 +$2.87 +$2.87 +$2.87+ $59.1223 = $73.47

8 0
2 years ago
Identify an element of a successful persuasive tweet.
Sever21 [200]

Many companies use blogs and tweets to help develop a positive online presence.

Option B : To fit in all the AIDA elements, break a longer message into a multi-part tweet.

Explanation:

Websites and Twitter accounts of businesses are strong marketing resources which can help to portray an optimistic and knowledgeable presence online.

The concepts underneath AIDA even now relate to micro-names, even though you likely won't use the complete, four-part plan. Using catching and interesting interest recipients, and seek to always have a call for action. Do not spread endless retweets, numerous tweets, or other things that are more distressing to your viewers than they receive.

7 0
1 year ago
Harness​ International, a global wiring harness​ company, allows each customer to access its engineering drawings on the​ compan
Vika [28.1K]
C. an resource I think.. sorry if it's wrong
6 0
1 year ago
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