Use the Following Information to Answer Questions

question 34

Multiple Choice

Use the following information to answer questions
Posch Company issued 12,000 shares of its $20 par value common stock for the net assets of Sato Company in a business combination under which Sato Company will be merged into Posch Company.On the date of the combination, Posch Company common stock had a fair value of $30 per share.Balance sheets for Posch Company and Sato Company immediately prior to the combination were as follows:
-If the business combination is treated as an acquisition and Sato Company's net assets have a fair value of $343,200, Posch Company's balance sheet immediately after the combination will include goodwill of

• A)$15,300.
• B)$19,200.
• C)$16,800.
• D)$28,200.

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Definitions:

Best Practices

Things people and organizations do that lead to superior performance.

Best Practices

A set of guidelines, ethics, or ideas that represent the most efficient or prudent course of action in a given business situation.

Superior Performance

Achieving results that surpass expected standards or benchmarks, often leading to competitive advantage.

Best Practices

Best practices are the methods or techniques that have been generally accepted as superior to alternatives because they produce results that are superior to those achieved by other means.