What Is the Amount of Goodwill Arising from This Business

question 43

Multiple Choice

What is the amount of goodwill arising from this business combination?

• A) $(180,000).
• B) $120,000.
• C) $168,000.
• D)$186,667.

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Definitions:

Sleep Clinic

A medical facility specially equipped for diagnosing and treating sleep disorders.

Mind Wandering

The experience of thoughts not remaining on a single topic for a long period, often shifting from one topic to another without any conscious direction.

Consciousness

The state of being aware of and able to think about one’s own existence, sensations, thoughts, surroundings, and experiences.

Somnambulism

Also known as sleepwalking, it is a behavior disorder that originates during deep sleep and results in walking or performing other complex behaviors while asleep.