The Balance Sheet of Mini Company Was as Follows Immediately

question 49

Multiple Choice

The balance sheet of Mini Company was as follows immediately before it was acquired by Maxi Company: Mini Company
Balance Sheet
January 1, 2014
$\begin{array}{lr}\text { Cash } & \$ 90,000 \\\text { Accounts receivable (net) } & 50,000 \\\text { Inventory } & 150,000 \\\text { Plant and equipment (net) } & 100,000 \\\text { Total Assets } & \$ 390,000\\\\\text { Accounts payable } & \$ 40,000 \\\text { Notes payable } & 80,000 \\\text { Common stock } & 155,000 \\\text { Retained earnings } & 115,000 \\\text { Total Liabilities and Stockholders' Equity } & \$ 390,000 \\\end{array}$ On January 1, 2014, in a merger transaction, Maxi Company paid $350,000 in cash for 100% of the outstanding common stock of Mini Company. The fair value of Mini Company's plant and equipment was $140,000 on the date of acquisition. If the fair value and book value are the same for Mini's remaining assets and liabilities, what was the amount of goodwill acquired by Maxi Company?

• A) $20,000.
• B) $40,000.
• C)$50,000.
• D)$60,000.

Identify the methods used to study brain activity and their relevance to understanding brain function.

Comprehend the role of neurotransmitters and brain waves in brain activity monitoring.

Understand the impact of brain damage on cognitive and motor functions.

Grasp the fundamental division and evolution of the brain and its structures.

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Definitions:

Job Order Cost Cards

Documents or electronic records that track the expenses related to a specific job or order, including direct labor, direct materials, and allocated overhead costs.

Perpetual Inventories

A method of inventory management where the inventory records are updated on a continuous basis as transactions occur.

Product Costs

Expenses directly tied to the production of goods, including materials, labor, and factory overhead.

Process Cost System

An accounting methodology used to allocate costs to units of production in continuous or repetitive operations.