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On January 1, 2019, Phoenix Co. acquired 100 percent of the outstanding voting shares of Sedona Inc. for $684,000 cash. At Ja

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Answer:
Particulars Amount (in $ )
Consideration transferred $ 684,000
Less: Carrying value of net assets ($ 478,800)
Less: Undervalued amount ($ 86,000)
Sedona's Customer list $ 119,200
Less: Depreciation for 3 year Period
              ( $ 119,200 x 3 / 4 )
($ 89,400)
Sedona's Customer list on December 31,2021 Consolidated balance sheet $ 29,800
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