AMIS624X2F - LastName |_|_|_|_|_|_|_|_|_|_|_|_| FirstName

Info iconThis preview shows pages 1–4. Sign up to view the full content.

View Full Document Right Arrow Icon
Last Name | _ | _ | _ | _ | _ | _ | _ | _ | _ | _ | _ | _ | First Name | _ | _ | _ | _ | _ | _ | _ | _ | _ | _ | _ | _ | Accounting & MIS 624 Exam II Spring 2009 Instructions: 1. Read each question carefully and answer fully.   Unless otherwise  specified,   subsidiaries   do   not   use   the   push-down   method   of  accounting.  All consolidations are handled as purchases (not pooling)  unless indicated.  All firms use a calendar year.  Use post-December  2008 GAAP unless otherwise told to do so.  2. Problems not supported by relevant and readable computations are  subject to point loss.  Where appropriate, terms like “net income,” “net  loss,” etc. must be included with number answers. 3. Budget your time carefully.  It is generally better to finish half of each  problem than to complete all of half the problems.   Students who  continue to work on exams after instructed to stop will receive a zero  on this exam. 4. It is the student's responsibility to verify that all the listed problems  and   pages   are   contained   is   this   booklet.     Unanswered   questions  receive zero points regardless of reason. Problem Pages Approximate Points Approximate Time I 2 - 5 60 32 – 40 minutes II 6 - 8 40 22 – 27 minutes III 9 - 10 32 18 – 22 minutes IV 11 - 12 28 15 – 19 minutes Total 160 87 - 108 minutes
Background image of page 1

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

View Full DocumentRight Arrow Icon
Page 2 of 12 P ROBLEM  I Presented   below   is   the   partially   completed   worksheet   for   Parent   and   Sub  immediately after Parent acquired 80% of Sub.  The current and book value of all of Sub’s  recorded assets were the same except as follows.  Inventory (FIFO) has a fair value of $375.  Property,   Plant   &   Equipment   (8   years   remaining)   has   a   fair   value   of   $840.     Land  (indefinite life) has a fair value of $600.  Long-term Liabilities (5 years remaining) has a  $750 current value.  The Sub was determined to have previously unrecorded Patents worth  $300 (6 years remaining).  The fair market value of the 20% non-controlling interest was  $380 at the acquisition date. Part A.  Required:  Complete the worksheet.  {15 points} 1 Jan 20x1 Parent Sub Adjustments Consolidated Cash & Receivables 1,990 620 Inventory 600 350 Property, P, E, net 2,100 800 Land 2,400 700 Investment in S 1,600 Current Liabilities 750 270 Long-term Liabilities 640 Common Stock 500 300 Ret. Earnings, end 6,800 1,100 8,690 2,470
Background image of page 2
Page 3 of 12 P ROBLEM  I  (continued) Part B.   Below is the worksheet at the end of the first year under the complete equity 
Background image of page 3

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

View Full DocumentRight Arrow Icon
Image of page 4
This is the end of the preview. Sign up to access the rest of the document.

This note was uploaded on 08/06/2011 for the course AMIS 624 taught by Professor Wallin during the Summer '11 term at Ohio State.

Page1 / 12

AMIS624X2F - LastName |_|_|_|_|_|_|_|_|_|_|_|_| FirstName

This preview shows document pages 1 - 4. Sign up to view the full document.

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