Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. accounting
  3. on may 28,2024, pesky corporation acquired all of

On May 28,2024, Pesky Corporation acquired all of the outstanding common stock of Harman, Incorporated,...

80.2K

Verified Solution

Question

Accounting

On May 28,2024, Pesky Corporation acquired all of the outstanding common stock of Harman, Incorporated, for $450 million. The fair value of Harman's identifiable tangible and intangible assets totaled $533 million, and the fair value of liabilities assumed by Pesky was $170 million.
Pesky performed a goodwill impairment test at the end of its fiscal year ended December 31,2024. Management has provided the following information:
Fair value of Harman, Incorporated $ 430 million
Fair value of Harman's net assets (excluding goodwill)370 million
Book value of Harman's net assets (including goodwill)446 million
Required:
Determine the amount of goodwill that resulted from the Harman acquisition.
Determine the amount of goodwill impairment loss that Pesky should recognize at the end of 2024, if any.
If an impairment loss is required, prepare the journal entry to record the loss.

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Zin AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students

Q

An All-Pro defensive lineman is in contract negotiations. The team has offered the following salary structure: Time Salary 0 $ 6,700,000 1 $ 5,300,000 2 $ 5,800,000 3 $ 6,300,000 4 $ 7,700,000 5 $ 8,400,000 6 $ 9,200,000    All...

Finance
Q

Calculate the pH at the following intervals if 30mL 0.20M of formic acid, HCHO2 is titrated...

Chemistry
Q

how does police subculture police personality and the blue wall silence contribute to corruption

Psychology
Q

An LRC series circuit consists of a 3.15 H inductor, a 6.36 ohm resistor, and a...

Physics
Q

are similar to lidocaine but are slightly different. When the structure of a drug is...

Biology
Q

Spinner Results Color Frequency Red 14 Blue 19 4 11 2 Green Yellow Purple the...

Basic Math
Q

rectangular fish tank is 70 cm long 50 cm w a How many cubic centimeters...

Calculus
Q

no other info besides this Current Attempt in Progress Starbucks sells coffee beans, which...

Accounting
Q

t of Following Trial Balance related to ABC Company for the year ended December 31,...

Accounting
Q

Bargain, Inc., 1,000 units of the company's product in 2011. The standard quantity of materials...

Accounting
Q

ON JANUARY 1, 2020, DIAMOND, INC. ACQUIRED A MACHINE FOR $1,665,000. THE ESTIMATED USEFUL LIFE...

Accounting
Q

Stocks A ond B have the following probability distributions of expected future retums: a. Caiculate...

Finance