Question

A company has the following expenditures during the year. Advertising $ 100,000 Employee training 80,000 Customer outreach and consultation 50,000 The company believes that these efforts have increased the fair value of the entire company by $325,000. How much goodwill can the company recognize at the end of the year associated with these expenditures

Answer 1

Answer:a,3000

Step-by-step explanation:

Trust

Answer 2

$0

Step-by-step explanation:

Given that

Advertising expenses = $100,000

Employee training = $80,000

Customer outreach and consultation = $50,000

Since it is mentioned that this cost would be increased the fair value of the entire company by $325,000

So there is no information related to the takeover of the business so in this case, the goodwill recognized by the company is zero