Use the Following Information to Answer the Question(s) Below -Under the Entity Theory,a Consolidated Balance Sheet Prepared Immediately After

question 16

Multiple Choice

Use the following information to answer the question(s) below.

Pasfield Corporation acquired a 90% interest in Santini Corporation for $90,000 cash on January 1, 2014. The following information is available for Santini at that time
$\begin{array}{lccr}&\text { Book Value}&\text { Fair Value }&\text { Difference }\\\text { Current assets } & \$ 40,000 & \$ 50,000 & \$ 10,000 \\\text { Plant assets } & 60,000 & 75,000 & 15,000 \\\text { Liabilities } & \underline{(50,000) } & \underline{(50,000) } & 0 \\\text { Net assets } & \underline{\underline{\$ 50,000}} & \underline{\underline{\$ 75,000}} &\end{array}$

-Under the entity theory,a consolidated balance sheet prepared immediately after the business combination will show goodwill of

• A)$15,000.
• B)$22,500.
• C)$25,000.
• D)$32,500.

Recognize legislative measures affecting telemarketing and consumer rights.

Understand the retail positioning matrix and its use in strategizing retail operations.

Identify privacy and ethical concerns in telemarketing.

Recognize different forms of online retailing and their appeal to consumers.

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Definitions:

Dimension Origin

The reference point or line from which dimensions are measured, serving as the starting point for the size and location of geometric features.

Positional Tolerancing

A type of geometric tolerancing that controls the variation in the position of features without affecting their size or shape.

General Tolerance

The allowable amount of variation in any dimension within a drawing or part that is not specifically called out by a dimension or note.

Basic Dimensions

Theoretically exact measurements specified on drawings, from which tolerances are applied to define allowable variation.