ACT 6692 Mod 18 Assignment

ACT 6692 Mod 18 Assignment - ACT 6692 Module 18 Assignment...

Info iconThis preview shows pages 1–3. Sign up to view the full content.

View Full Document Right Arrow Icon
ACT 6692 Module 18 – Assignment (Problems) 18-1—Purchase-acquisition Diamond acquired Heart's net assets. At the time of the acquisition Heart's Balance sheet was as follows: Accounts Receivable $130,000 Inventory 70,000 Equipment, Net 50,000 Building, Net 250,000 100,000 Total Assets $600,000 Bonds Payable $100,000 Common Stock 50,000 Retained Earnings 450,000 Total Liabilities and Stockholders' Equity $600,000 Fair values on the date of acquisition: Inventory $100,000 Equipment 30,000 Building 350,000 Land 120,000 Brand name copyright 50,000 Bonds payable 120,000 Direct acquisition costs: $5,000 Required: Record the entry for the purchase of the net assets of Heart by Diamond at the following Cash prices: a. $700,000 b. $300,000 c. $100,000 1
Background image of page 1

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
18-2 – Consolidation Marquette Instruments Company acquired all the assets and assumed all the liabilities of the Nelson Company on July 1, 20X1. The fiscal year for both Marquette and Nelson ends on December 31. On the date of acquisition, Nelson Company had the following trial balance: Accounts receivable $ 60,000 Inventory 70,000 Machinery 300,000 Accumulated depreciation, machinery $100,000 Notes payable 80,000 Sales 210,000 Cost of goods sold 120,000 Operating expenses 70,000 Depreciation expense 15,000 Common stock, $1 par 10,000 Paid-in capital in excess of par
Background image of page 2
Image of page 3
This is the end of the preview. Sign up to access the rest of the document.

Page1 / 5

ACT 6692 Mod 18 Assignment - ACT 6692 Module 18 Assignment...

This preview shows document pages 1 - 3. Sign up to view the full document.

View Full Document Right Arrow Icon
Ask a homework question - tutors are online