Calculate the amount of goodwill Pesto will capitalize on it…

Calculate the amount of goodwill Pesto will capitalize on its Statement of Financial Position (Balance Sheet) as a result of this acquisition.  Hint:  You can answer this question by calculating goodwill directly, or by preparing the journal entry that would be recorded at acquisition.

Assets 3 & 4 Land and building were acquired for a lump sum…

Assets 3 & 4 Land and building were acquired for a lump sum price of $1,500,000 which was paid in cash. At the time of acquisition, the land was appraised at $612,500 and the building was appraised at $1,137,500. Which of the following statements about the acquisition of Assets 3 & 4 are true: