Parr Company Purchased 100% of the Voting Common Stock of Super

question 28

Multiple Choice

Parr Company purchased 100% of the voting common stock of Super Company for $2,000,000.There are no liabilities.The following book and fair values pertaining to Super Company are available:
$\begin{array}{lrr}& \text { Book Value } & \text { Fair Value } \\\text { Current assets } & \$ 300,000 & \$ 600,000 \\\text { Land and building } & 600,000 & 900,000 \\\text { Machinery } & 500,000 & 600,000 \\\text { Goodwill } & 100,000 & ?\end{array}$
The amount of machinery that will be included in on the consolidated balance sheet is:

• A)$560,000
• B)$860,000
• C)$600,000
• D)$900,000

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A term used to describe employees who are paid above the maximum salary range for their position due to various reasons, such as skills or experience.

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