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Unformatted text preview: P3-39* Balance Sheet Amounts under Alternative Accounting Theories$210,000 - .75(90,000+110,000) = $60,000BVMVDifference75%B&E120,000180,00060,00045,000Goodwill15,00060,000Proprietary theory:ParsonsTumbleCash & Inventory300,00080,000300,000+.75(80,000)=$360,000Bdlg & Equipment400,000120,000400,000+.75(120,000)+45,000=535,000Goodwill15,000Total Assets700,000200,000Common Stock380,00090,000Retained Earnings320,000110,000Total L&OE700,000200,000Balance Sheet:Cash & Inventory360,000Bdlg & Equipment535,000Goodwill15,000Total Assets910,000Common Stock590,000 Add stock that was issued 380,000 + 210,000Retained Earnings320,000Total L&OE910,000P3-39 Balance Sheet Amounts under Alternative Accounting Theories page 2Parent company theory:ParsonsTumbleCash & Inventory300,00080,000300,000+.80,000 = $380,000Bdlg & Equipment400,000120,000400,000+ 120,000 +45,000=565,000Goodwill15,000Total Assets700,000200,000Common Stock380,00090,000Retained Earnings320,000110,000Total L&OE700,000200,000Cash & Inventory...
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This note was uploaded on 04/18/2008 for the course ACCT cost taught by Professor Staff during the Spring '08 term at Oklahoma State.
- Spring '08
- Balance Sheet