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D 101 15 Lake Incorporated purchased Huron Company with a negotiated purchase price of $850,000...

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Accounting

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D 101 15 Lake Incorporated purchased Huron Company with a negotiated purchase price of $850,000 cash. Book values of acquired assets and liabilities were: Assets: Book Value Cash $60,000 Accounts Receivable 40,000 Inventory 30,000 Property and Equipment Cost 850,000 Accumulated Depreciation (250,000) Liabilities: 175,000 Accounts Payable Cost 850,000 Accumulated Depreciation (250,000) Liabilities: Accounts Payable 175,000 The fair value of cash, accounts receivable, and accounts payable equal the book value. The fair value of inventory is $25,000 and the fair value of property and equipment is $750,000 What is the fair value of the assets received in the acquisition? O $450,000 O None of the answers are correct O $625.000 O $700,000 O $875.000

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