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Technology Stocks : TAVA Technologies (TAVA-NASDAQ) -- Ignore unavailable to you. Want to Upgrade?

To: Rick Bullotta who wrote (23952)	10/13/1998 3:54:00 PM
From: JDN	Respond to of 31646

Dear Rick and all: At this point JDN doesnt have enough info to describe the accounting treatment. BUT if it is CASH and Stock it very likely will be accounted for as a purchase NOT a pooling of interest. THAT means that ANY EXCESS OF COST over net value of assets acquired must be put into Goodwill and amortized over a period of time not to exceed 40 years. HINT TO TAVA IF YOU ARE READING THIS: Hire an EXPERT and have him allocate as much of this EXCESS to a value for the ONGOING client relationships. THIS can be written off for TAX PURPOSES unlike goodwill which cannot. May be other intangibles you can assign value to also such as leases etc. JDN