Q: Allen Company acquired 100 percent of Bradford Company’s voting stock on January
Allen Company acquired 100 percent of Bradford Company’s voting stock on January 1, 2014, by issuing 10,000 shares of its $10 par value common stock (having a fair value of $14 per s...
See AnswerQ: On January 1, 2017, Harrison, Inc., acquired 90
On January 1, 2017, Harrison, Inc., acquired 90 percent of Starr Company in exchange for $1,125,000 fair-value consideration. The total fair value of Starr Company was assessed at $1,200,000. Harrison...
See AnswerQ: On January 1, 2018, Johnsonville Enterprises, Inc., acquired
On January 1, 2018, Johnsonville Enterprises, Inc., acquired 80 percent of Stayer Company’s outstanding common shares in exchange for $3,000,000 cash. The price paid for the 80 percent ownership inter...
See AnswerQ: On January 1, Patterson Corporation acquired 80 percent of the 100
On January 1, Patterson Corporation acquired 80 percent of the 100,000 outstanding voting shares of Soriano, Inc., in exchange for $31.25 per share cash. The remaining 20 percent of Sorianoâ...
See AnswerQ: On January 1, 2017, Palka, Inc., acquired 70
On January 1, 2017, Palka, Inc., acquired 70 percent of the outstanding shares of Sellinger Company for $1,141,000 in cash. The price paid was proportionate to Sellinger’s total fair...
See AnswerQ: Parker, Inc., acquires 70 percent of Sawyer Company for $
Parker, Inc., acquires 70 percent of Sawyer Company for $420,000. The remaining 30 percent of Sawyer’s outstanding shares continue to trade at a collective value of $174,000. On the...
See AnswerQ: On January 1, Beckman, Inc., acquires 60 percent of
On January 1, Beckman, Inc., acquires 60 percent of the outstanding stock of Calvin for $36,000. Calvin Co. has one recorded asset, a specialized production machine with a book value of $10,000 and no...
See AnswerQ: Plaza, Inc., acquires 80 percent of the outstanding common stock
Plaza, Inc., acquires 80 percent of the outstanding common stock of Stanford Corporation on January 1, 2018, in exchange for $900,000 cash. At the acquisition date, Stanford’s total...
See AnswerQ: On January 1, 2016, Parflex Corporation exchanged $344,
On January 1, 2016, Parflex Corporation exchanged $344,000 cash for 90 percent of Eagle Corporation’s outstanding voting stock. Eagle’s acquisition date balance she...
See AnswerQ: Several years ago, Jenkins Company acquired a controlling interest in Lambert
Several years ago, Jenkins Company acquired a controlling interest in Lambert Company. Lambert recently borrowed $100,000 from Jenkins. In consolidating the financial records of these two companies, h...
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