2-17 - 50,000 Contingent performance liability 15,000 Cash...

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17. (Combination entries—acquired entity dissolved) a. Acquisition Method—Entry to record acquisition of Sampras Cash consideration transferred $300,000 Contingent performance obligation 15,000 Consideration transferred (fair value) 315,000 Fair value of net identifiable assets 282,000 Goodwill $33,000 Receivables 80,000 Inventory 70,000 Buildings 115,000 Equipment 25,000 Customer list 22,000 Capitalized R&D 30,000 Goodwill 33,000 Current liabilities 10,000 Long-term liabilities
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Unformatted text preview: 50,000 Contingent performance liability 15,000 Cash 300,000 Combination expenses 10,000 Cash 10,000 b. Purchase MethodEntry to record acquisition of Sampras Purchase price (including direct combination costs) $310,000 Fair value of net identifiable assets 282,000 Goodwill $28,000 Receivables 80,000 Inventory 70,000 Buildings 115,000 Equipment 25,000 Customer list 22,000 R&D expense 30,000 Goodwill 28,000 Current liabilities 10,000 Long-term liabilities 50,000 Cash 310,000...
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This note was uploaded on 10/02/2009 for the course ACCT 401 taught by Professor Ross,m during the Spring '08 term at Western Kentucky University.

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