USA Business Purchase

[Misty Leinberger]

Have a business that purchased territory with in a franchise from another franchisee. There were no liabilities or other assets transferred. There doesn't appear to be any Goodwill associated with the purchase, so no intangible to amortize. Currently, the previous accountant has listed a note payable and a fixed asset for the amount of the purchase. It's just not sitting right with me, but I do tend to over-analyze and sometimes simpler is better. Comments, please!