On January 3, 20X5, Pine Company acquired 75 percent of Sap…
On January 3, 20X5, Pine Company acquired 75 percent of Sap Company’s outstanding common stock for cash. The fair value of the noncontrolling interest was equal to a proportionate share of the book value of Sap Company’s net assets at the date of acquisition. Selected balance sheet data at December 31, 20X5, are as follows: Pine Sap Total Assets $ 504,000 $ 216,000 Liabilities 144,000 72,000 Common Stock 120,000 60,000 Retained Earnings 240,000 84,000 Total Liabilities & Stockholders’ Equity $ 504,000 $ 216,000 Based on the preceding information, what amount should be reported as noncontrolling interest in net assets in Pine Company’s December 31, 20X5, consolidated balance sheet?
Read DetailsRivendell Corporation and Foster Company merged as of Januar…
Rivendell Corporation and Foster Company merged as of January 1, 20X2. To effect the merger, Rivendell paid finder’s fees of $40,000, legal fees of $13,000, audit fees related to the stock issuance of $10,000, stock registration fees of $5,000, and stock listing application fees of $4,000. Based on the preceding information, under the acquisition method:
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