Business, 03.02.2020 05:55 hollymay808p0t9to
Beatty, inc. acquires 100% of the voting stock of gataux company on january 1, 2012 for $500,000 cash. a contingent payment of $12,000 will be paid on april 1, 2013 if gataux generates cash flows from operations of $26,500 or more in the next year. beatty estimates that there is a 30% probability that gataux will generate at least $26,500 next year, and uses an interest rate of 4% to incorporate the time value of money. the fair value of $12,000 at 4%, using a probability weighted approach, is $3,461. assuming gataux generates cash flow from operations of $27,200 in 2012, how will beatty record the $12,000 payment of cash on april 1, 2013 in satisfaction of its contingent obligation? debit contingent performance obligation $3,461, debit goodwill $8,539, and credit cash $12,000. debit contingent performance obligation $3,461, debit loss from revaluation of contingent performance obligation $8,539, and credit cash $12,000. debit goodwill and credit cash $12,000. debit goodwill $27,200, credit contingent performance obligation $15,200, and credit cash $12,000. no entry.
Answers: 2
Business, 23.06.2019 09:00, alexandrecarmene
Jonathan’s class has 30 boys. of the students in his class, 60% are girls. how many girls are in jonathan’s class? (a)75 (b)60 (c)45 (d)20
Answers: 1
Beatty, inc. acquires 100% of the voting stock of gataux company on january 1, 2012 for $500,000 cas...
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