Home » Classroom » JAMB Accounting 2018 Question

If the purchase price exceeds the net assets of... - JAMB Accounting 2018 Question

If the purchase price exceeds the net assets of a company, the excess amount is debited to________________

A
Cash account
B
purchase account
C
goodwill account
D
sales account
correct option: c

Goodwill refers to the excess of purchase consideration over the total value of the business.

Please share this, thanks:

Add your answer

Notice: Posting irresponsibily can get your account banned!

No responses