Paws Inn is for sale. The following facts pertain:
|
Book Value |
Fair Market Value |
|
|
Current assets |
$100,000 |
$170,000 |
|
Plant assets |
400,000 |
700,000 |
|
Intangible assets |
60,000 |
90,000 |
|
Liabilities |
300,000 |
300,000 |
Cousin Vinnie Resorts purchases Paws Inn for $825,000. The value of goodwill amounts to:
- $30,000.
- $165,000.
- $300,000.
- $370,000.