What is the amount of goodwill that staffing company


Staffing Company purchased the net assets (i.e., assets minus liabilities) of Time Management, Inc. for $390,000. Time Management, Inc. is a retailer of software, books, seminars, and related items. Its net assets have been carried on its own books at a total of $183,000. An appraisal of all of Time Management's assets and liabilities revealed a net fair market value of $299,000. Staffing Company is willing to pay extra because of Time Management's very loyal retail customers, most of who have dealt exclusively with the company for many years and also their loyal employees who have also been with the company for many years.

What is the amount of goodwill that Staffing Company should record at acquisition of Time Management, Inc.?

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Accounting Basics: What is the amount of goodwill that staffing company
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