Vikings Inc. reports the following amounts:
Book Value Fair Value
Assets $ 400,000 $ 500,000
Liabilities 45,000 45,000
Net income 25,000
How much goodwill would be recorded if Torretta Holdings purchases Vikings, assuming its liabilities, for $635,000?
A) $255,000.
B) $280,000.
C) $180,000.
D) $100,000.
Answer: C
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