Homework Answers
| Annual Excess amortization on date of acquisition | ||||||
| Assets/Liabilities | Fair Value | Book Value | Excess | Useful Life (year) | Annual Amortization (Amount in $ ) | |
| Equipment (net) | 1,10,000 | 65,000 | 45,000 | 10 | 4,500 | |
| Buidlings (net ) | 5,00,000 | 2,95,000 | 2,05,000 | 20 | 10,250 | |
| Land | 1,50,000 | 1,00,000 | 50,000 | NA | 0 | |
| Loan payable | -3,00,000 | -2,50,000 | -50,000 | 8 | - 6,250 | |
| Total | 460,000 | 210,000 | 250,000 | 8,500 | ||
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