In a Business Combination,which of the Following Will Occur

question 28

Multiple Choice

In a business combination,which of the following will occur?

• A)All identifiable assets and liabilities are recorded at fair value at the date of acquisition.
• B)All identifiable assets and liabilities are recorded at book value at the date of acquisition.
• C)Goodwill is recorded if the fair value of the net assets acquired exceeds the book value of the net assets acquired.
• D)None of the above is correct.

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Definitions:

Degrees Fahrenheit

A scale of temperature on which water freezes at 32° and boils at 212° under standard conditions.

Domain

The collection of all potential x-values for which a given function exists.

Range

The difference between the highest and lowest values in a set of data, or the set of all possible values of a function.

\(f ( x )\)

Represents a function of x, a way to show the relationship between x (input) and f(x) (output) in mathematical terms.