Equity Method of Acquistion of 2nd Co.
Year 1 Stakeholder's Equity: Entry S
Common Stock 2nd Co.
Additional Paid in Capital 2nd Co.
Retained Earning 1/1
Investement In Company 2nd CO.
Year 1 Subsidiary Allocations: Entry A
Net Temporarily Restricted Permanently Restricted
$ 600,000.00 $
1. Depreciation of $2,000 is recorded. -$
2. Equipment is bought for $25,000 by
signing a long-term note for $10,000