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Large Company purchased Small Company for $50,000 cash. At the time of the purchase, Small...

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Accounting

Large Company purchased Small Company for $50,000 cash. At the time of the purchase, Small Company had assets with a fair value of $90,000. Small Company also had liabilities with a fair value of $70,000; Large Company assumed responsibility for the liabilities of Small Company on the date of the purchase. How much GOODWILL should be recorded by Large Company in connection with this acquisition of Small Company for $50,000 cash? $90,000 $30,000 $20,000 $40,000

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