On July 1, 2020, Flounder Corporation purchased Young Company by paying $261,000 cash and issuing a $143,000 note payable to Steve Young. At July 1, 2020, the balance sheet of Young Company was as follows.
Cash |
$50,000 |
Accounts payable |
$208,000 |
|||
---|---|---|---|---|---|---|
Accounts receivable |
91,000 |
Stockholders’ equity |
238,700 |
|||
Inventory |
108,000 |
$446,700 |
||||
Land |
41,100 |
|||||
Buildings (net) |
74,800 |
|||||
Equipment (net) |
70,500 |
|||||
Trademarks |
11,300 |
|||||
$446,700 |
The recorded amounts all approximate current values except for land
(fair value of $62,600), inventory (fair value of $125,800), and
trademarks (fair value of $17,600).
Prepare the July 1 entry for Flounder Corporation to record the purchase. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.)
Account Titles and Explanation |
Debit |
Credit |
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enter an account title |
enter a debit amount |
enter a credit amount |
enter an account title |
enter a debit amount |
enter a credit amount |
enter an account title |
enter a debit amount |
enter a credit amount |
enter an account title |
enter a debit amount |
enter a credit amount |
enter an account title |
enter a debit amount |
enter a credit amount |
enter an account title |
enter a debit amount |
enter a credit amount |
enter an account title |
enter a debit amount |
enter a credit amount |
enter an account title |
enter a debit amount |
enter a credit amount |
enter an account title |
enter a debit amount |
enter a credit amount |
enter an account title |
enter a debit amount |
enter a credit amount |
enter an account title |
enter a debit amount |
enter a credit amount |
eTextbook and Media
List of Accounts
Prepare the December 31 entry for Flounder Corporation to record amortization of intangibles. The trademark has an estimated useful life of 4 years with a residual value of $4,640. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.)
Account Titles and Explanation |
Debit |
Credit |
---|---|---|
enter an account title |
enter a debit amount |
enter a credit amount |
enter an account title |
enter a debit amount |
enter a credit amount |
Account Titles and Explanation | Debit | Credit | |
Cash | 50000 | ||
Accounts receivable | 91000 | ||
Inventory | 125800 | ||
Land | 62600 | ||
Buildings | 74800 | ||
Equipment | 70500 | ||
Trademarks | 17600 | ||
Goodwill | 119700 | ||
Accounts payable | 208000 | ||
Cash | 261000 | ||
Note payable | 143000 | ||
Account Titles and Explanation | Debit | Credit | |
Amortization expense | 1620 | =(17600-4640)/4*6/12 | |
Trademarks | 1620 |
On July 1, 2020, Flounder Corporation purchased Young Company by paying $261,000 cash and issuing a...
On July 1, 2020, Flounder Corporation purchased Young Company by paying $261,000 cash and issuing a $143,000 note payable 1,2020, the balance sheet of Young Company was as follows. Steve Young. At July $50,000 Accounts payable $208,000 Cash Stockholders' equity Accounts receivable 91,000 238,700 $446,700 Inventory 108,000 Land 41,100 Buildings (net) 74,800 Equipment (net) 70,500 11,300 Trademarks $446,700 The recorded amounts all approximate current values except for land (fair value of $62,600), inventory (fair value of $125,800), and trademarks (fair...
On July 1, 2020, Flounder Corporation purchased Young Company by paying $261,000 cash and issuing a $143,000 note payable to Steve Young. At July 1, 2020, the balance sheet of Young Company was as follows. Cash $50,000 Accounts payable $208,000 Accounts receivable 91,000 Stockholders' equity 238,700 Inventory 108,000 $446,700 Land 41,100 Buildings (net) 74,800 Equipment (net) 70,500 Trademarks 11,300 $446,700 The recorded amounts all approximate current values except for land (fair value of $62,600), inventory (fair value of $125,800), and...
On July 1, 2020, Monty Corporation purchased Young Company by paying $257,000 cash and issuing a $110,000 note payable to Steve Young. At July 1, 2020, the balance sheet of Young Company was as follows. $51.300 $204,000 Cash Accounts payable 89,800 Stockholders' equity 239,000 Accounts receivable $443,000 Inventory 104,000 Land 40,100 Buildings (net) 76,200 Equipment (net) 69,800 11,800 Trademarks $443,000 The recorded amounts all approximate current values except for land (fair value of $64,700), inventory (fair value of $126,600), and...
On July 1, 2020, Bramble Corporation purchased Young Company by paying $256,600 cash and issuing a $102,000 note payable to Steve Young. At July 1, 2020, the balance sheet of Young Company was as follows. Cash $51,800 Accounts payable $202,000 Accounts receivable 91,200 Stockholders' equity 248,900 Inventory 110,000 $450,900 Land 41,200 Buildings (net) 75,400 Equipment (net) 69,700 Trademarks 11,600 $450,900 The recorded amounts all approximate current values except for land (fair value of $64,600), inventory (fair value of $125,700), and...
On July 1, 2020, Ayayai Corporation purchased Young Company by paying $251,000 cash and issuing a $100,000 note payable to Steve Young. At July 1, 2020, the balance sheet of Young Company was as follows. Cash $50,000 Accounts payable $202,000 Accounts receivable 89,500 Stockholders' equity 232,500 Inventory 100,000 $434,500 Land 40,000 Buildings (net) 74,500 Equipment (net) 69,500 Trademarks 11,000 $434,500 The recorded amounts all approximate current values except for land (fair value of $60,000), inventory (fair value of $124,000), and...
On July 1, 2020, Blue Corporation purchased Young Company by paying $257,700 cash and issuing a $123,000 note payable to Steve Young. At July 1, 2020, the balance sheet of Young Company was as follows. Cash $50,800 Accounts payable $204,000 Accounts receivable 89,900 Stockholders' equity 235,800 Inventory 102,000 $439,800 Land 40,200 Buildings (net) 75,000 Equipment (net) 70,300 Trademarks 11,600 $439,800 The recorded amounts all approximate current values except for land (fair value of $63,100), inventory (fair value of $125,300), and...
On July 1, 2020, Riverbed Corporation purchased Young Company by paying $256,900 cash and issuing a $132,000 note payable to Steve Young. At July 1, 2020, the balance sheet of Young Company was as follows. Cash $51,400 Accounts payable $204,000 Accounts receivable 91,500 Stockholders’ equity 241,100 Inventory 105,000 $445,100 Land 40,400 Buildings (net) 75,300 Equipment (net) 69,500 Trademarks 12,000 $445,100 The recorded amounts all approximate current values except for land (fair value of $62,200), inventory (fair value of $126,400), and...
On July 1, 2020, Pronghorn Corporation purchased Young Company
by paying $252,100 cash and issuing a $146,000 note payable to
Steve Young. At July 1, 2020, the balance sheet of Young Company
was as follows.
Cash
$50,900
Accounts payable
$205,000
Accounts receivable
91,600
Stockholders’ equity
243,200
Inventory
107,000
$448,200
Land
41,600
Buildings (net)
75,600
Equipment (net)
69,900
Trademarks
11,600
$448,200
The recorded amounts all approximate current values except for land
(fair value of $60,100), inventory (fair value of $124,500), and...
Exercise 12-12 (Part Level Submission) On
July 1, 2017, Sheffield Corporation purchased Young Company by
paying $260,600 cash and issuing a $105,000 note payable to Steve
Young. At July 1, 2017, the balance sheet of Young Company was as
follows. Cash $50,800 Accounts payable $204,000 Accounts receivable
90,800 Stockholders’ equity 244,400 Inventory 109,000 $448,400 Land
40,100 Buildings (net) 76,500 Equipment (net) 69,800 Trademarks
11,400 $448,400 The recorded amounts all approximate current values
except for land (fair value of $64,200), inventory...
Exercise 12-12 (Part Level Submission) On
July 1, 2017, Sheffield Corporation purchased Young Company by
paying $260,600 cash and issuing a $105,000 note payable to Steve
Young. At July 1, 2017, the balance sheet of Young Company was as
follows. Cash $50,800 Accounts payable $204,000 Accounts receivable
90,800 Stockholders’ equity 244,400 Inventory 109,000 $448,400 Land
40,100 Buildings (net) 76,500 Equipment (net) 69,800 Trademarks
11,400 $448,400 The recorded amounts all approximate current values
except for land (fair value of $64,200), inventory...