Question - On April 1, 2010, Union Company paid $1,600,000 for all the issued and outstanding common stock of Cable Corporation in a transaction properly accounted for as an acquisition. The recorded assets and liabilities of Cable Corporation on April 1, 2010, were as follows:
Cash$ 160,000
Inventory 480,000
Property, plant and equipment (net) 960,000
Liabilities (360,000)
On April 1, 2010, it was determined that Cable's inventory had a fair value of $460,000, and the property, plant and equipment (net) had a fair value of $1,040,000. What is the amount of goodwill resulting from the business combination?
A: $0
B: $ 20,000
C: $300,000
D: $360,000