When Jolt Co

question 6

Multiple Choice

When Jolt Co. acquired 75% of the common stock of Yelts Corp., Yelts owned land with a book value of $70,000 and a fair value of $100,000.
What is the total amount of excess land allocation at the acquisition date?

• A) $0.
• B) $30,000.
• C) $22,500.
• D) $25,000.
• E) $17,500.

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Definitions:

Functional Structure

An organizational design that groups employees based on their job functions, leading to departments like marketing, finance, and operations.

Organising Function

A management activity that involves arranging resources and tasks to achieve objectives efficiently and effectively.

Management Functions

Fundamental tasks performed by managers, which typically include planning, organizing, leading, and controlling.

Important

Something of great significance or value.