Advanced Accounting 11th Edition by Paul Fischer,William Tayler, Rita Cheng

تمرين 29

Cash purchase with goodwill. Tweeden Corporation is contemplating the acquisition of the net assets of Sylvester Corporation in anticipation of expanding its operations. The balance sheet of Sylvester Corporation on December 31, 2011, is as follows:
The agreed-upon purchase price is $580,000 in cash. Acquisition costs paid in cash total $20,000.
Using the above information, do value analysis and prepare the entry on the books of Tweeden Corporation to acquire the net assets of Sylvester Corporation on December 31, 2011.