Date |
General Journal |
Debit |
Credit |
01/01/2017 |
Cash |
$ 10,00,000.00 |
|
Common stock |
$10,00,000.00 |
||
(To record issue of common stock) |
|||
03/31/2017 |
Cash |
$ 1,00,000.00 |
|
Accounts receivables |
$ 40,000.00 |
||
Inventory |
$ 60,000.00 |
||
Land |
$ 1,00,000.00 |
||
Buildings |
$ 2,00,000.00 |
||
Goodwill |
$ 1,70,000.00 |
||
Notes payable |
$ 70,000.00 |
||
Cash |
$ 6,00,000.00 |
||
(To record purchase of other company) |
Trial balance |
Debit |
Credit |
Cash |
$ 5,00,000.00* |
|
Accounts receivables |
$ 40,000.00 |
|
Inventory |
$ 60,000.00 |
|
Land |
$ 1,00,000.00 |
|
Buildings |
$ 2,00,000.00 |
|
Goodwill |
$ 1,70,000.00 |
|
Notes payable |
$ 70,000.00 |
|
Common stock |
$ 10,00,000.00 |
|
Totals |
$ 10,70,000.00 |
$ 10,70,000.00 |
Cash balance = $1000000+100000-600000.
ALT-RECORDING GOODWILL There are 5 problems in this set. Choose a number between I and 5...
P5-33 Consolidation Worksheet at End of First Year of Ownership LO 5-2 Pie Corporation acquired 75 percent of Slice Company's ownership on January 1, 20X8, for $99,000. At that date, the fair value of the noncontrolling interest was $33,000. The book value of Slice's net assets at acquisition was $97,000. The book values and fair values of Slice's assets and liabilities were equal, except for Slice's buildings and equipment, which were worth $19,400 more than book value. Accumulated depreciation on...
Prince Corporation acquired 100 percent of Sword Company on January 1, 20X7, for $188,000. The trial balances for the two companies on December 31, 20X7, included the following amounts: Prince Corporation Sword Company Item Debit Credit Debit Credit Cash $ 94,000 $ 39,000 Accounts Receivable 53,000 58,000 Inventory 188,000 108,000 Land 92,000 34,000 Buildings and Equipment 494,000 161,000 Investment in Sword Company 217,000 Cost of Goods Sold 494,000 257,000 Depreciation Expense 24,000 14,000 Other Expenses 74,000 74,000 Dividends Declared 56,000...
Price Corporation acquired 100 percent ownership of Saver Company on January 1, 20X8, for $109,600. At that date, the fair value of Saver's buildings and equipment was $15,000 more than the book value. Accumulated depreciation on this date was $15,000. Buildings and equipment are depreciated on a 10-year basis. Although goodwill is not amortized, Price’s management concluded at December 31, 20X8, that goodwill involved in its acquisition of Saver shares had been impaired and the correct carrying value was $2,600....
1. A. Record the initial investment in Sword Co. B. Record Prince Corp's share of Sword Co.'s 20X7 income. C. Record Prince Corp's share of Sword Co.'s 20X7 dividend. D. Record the amortization of the excess acquisition price. 2. A. Record the basic consolidation entry. B. Record the amortized excess value reclassification entry. C. Record the excess value (differential) reclassification entry. D. Record the entry to eliminate the intercompany accounts. E. Record the optional accumulated depreciation consolidation entry. Prince Corporation...
P4-33 Consolidation Worksheet at End of First Year of Ownership LO 4-5 Price Corporation acquired 100 percent ownership of Saver Company on January 1, 20X8, for $128,000. At that date, the fair value of Saver's buildings and equipment was $20,000 more than the book value. Buildings and equipment are depreciated on a 10-year basis. Although goodwill is not amortized, Price's management concluded at December 31, 20X8, that goodwill involved in its acquisition of Saver shares had been impaired and the...
A-RECORD THE INITIAL INVESTMENT IN SWORD CO. Investment in Sword Co Cash B-RECORD PRINCE CORP’S SHARE OF SWORD CO’S 2017 INCOME Investment in Sword Co Income from Sword Co C-RECORD PRINCE CORP’S SHARE OF SWORD CO.’S 2017 DIVIDEND Cash Investment in Sword Co D-RECORD THE AMORTIZATION OF THE EXCESS ACQUISITION PRICE. Income from Sword Co Investment in Sword Co Prepare all consolidating entries needed to prepare a full set of consolidated financial statements for 20X7 A-RECORD THE BASIC CONSOLIDATION...
Prime Company holds 80 percent of Suspect Company’s stock, acquired on January 1, 20X2, for $160,000. On the acquisition date, the fair value of the noncontrolling interest was $40,000. Suspect reported retained earnings of $50,000 and had $100,000 of common stock outstanding. Prime uses the fully adjusted equity method in accounting for its investment in Suspect. Trial balance data for the two companies on December 31, 20X6, are as follows: Prime Company Suspect Company Item Debit Credit Debit Credit Cash...
i need help with number 4, preparing the income statement, retained earnings statement, and the balance sheet. this is the information that i have. Accounting Cycle Project (Group) ACCT3303 Spring 2020 Assignments Required: 1) Making journal entries for each transaction in chronological order. 2) Posting to the general ledger and prepare trial balance before adjustment. 3) Making adjusting entries and prepare adjusted trial balance. 4) Prepare Income Statement, Retained Earnings Statement, and Balance Sheet 5) Making closing entries. 6) Put...
Please help me with this! I'm so confused about how to prepare the trial balance before adjustment. Here is all the information: The 2019 Balance Sheet of the Victoria Co. is as follows: Victoria Co. Balance Sheet As of December 31, 2019 Cash 85,000 Notes Payable 150,000 Notes Receivable 34,590 Accounts Payable 125,000 Accounts Receivable 35,000 Unearned Revenue 1,000 Less: Allowance for Doubtful A/Cs (2,930) Property Tax Payable 0 Inventories 65,000 Interest Payable 3,500 Office Supplies 0 Income Tax Payable...
EXAn Fat the bej and a $5 mm urke ing rate I. Select the best answer (60 points) The conversion of bonds is most commonly recorded by the 1 gslain the mit entries eries: C fair v a. incremental method b. proportional method. c. market value method. d. book value method If a company offers additional considerations to convertible bondholders In order to encourage 2. conversion, it is called a(an): of end mont nsid mobi a. forced conversion. b. sweetener...