Consolidation at date of acquisition (purchase price greater than book value, acquisition journal entries Assume that...

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Consolidation at date of acquisition (purchase price greater than book value, acquisition journal entries Assume that the par

Common stock APIC 0 168,000 0 2,940,000 x b. Given the following acquisition-date balance sheets of the parent and the subsid

$15,742,320 $3,667,200 Liabilities and stockholders equity Accounts payable Accrued liabilities Long-term liabilities Common

Retained earnings Equity investment [A] Trademark Video library Patented technology Retained earnings Equity investment 64,00

$ Cash Accounts receivable Inventory Equity investment $514,020 450,300 650,000 3,528,000 $265,160 633,360 813,540 779,360 x

Patented technology Goodwill [A] [A] 125,000 965,000 x 125,000 0X $ 16,556,70 X $15,742,320 $3,667,200 Liabilities and equity

business accounting

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Answer 1

Answer #1

General Journal Description Debit $ Credit $ Equity investment A/C 32,76,000 To Common stock (84,000 x 2) A/C 168,000 To APIC Consolidation Worksheet Amount $ Particulars Parent Subsidiary Debit Credit Consolidated Assets Cash 514,020 265,160 779,180

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Answer 2

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