(Accounting for intangible assets) Le Gormet Company purchased a fast-food restaurant for $1,700,000

Problem 6-32 Accounting for intangible assets

Le Gormet Company purchased a fast-food restaurant for $ 1,700,000. The fair market values of the assets purchased were as follows. No liabilities were assumed.
Equipment $ 420,000
Land 300,000
Building 650,000
Franchise ( 5- year life) 120,000

Required
Calculate the amount of goodwill purchased.

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