[jimboace88]

I’m going through my final review of F2 and I just thought of something. The Becker material mentions that when the goodwill method is used, the goodwill is allocated to the old partners according to their old partnership profit ratios. That’s fine, I’m not disputing that it could be the case.

But I swear I remember learning in my advanced accounting class that the goodwill can go to the NEW partner also. Could that ever be the case or am I just getting delusional from a day full of nothing but studying?

FAR 07/27/11 - 87
AUD 10/01/11 - 85
BEC 11/15/11 - 87
REG 01/03/12 - 92

[hilaryh_88]

You are correct, it can also go to the new partner. The goodwill is attributed to the new partner when the book value acquired by the new partner is greater than the assets contributed.

AUD - 82 Becker
BEC - 75 Becker
REG - 71, 82 Becker
FAR - 66,61,71,74,70 and #6 80!!!! FINALLY DONE!!! 9/20/12
Yaeger and Yaeger CRAM for the final battle!

[Author]

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