Pascal corporation purchased 90% of the stock of salzer company for $2,108,160 on january 1, 2015. on this date, the fair value of the assets and liabilities of salzer company was equal to their book value except for the inventory and equipment accounts. the inventory had a fair value of $710,800 and a book value of $606,400. the equipment had a book value of $887,200 and a fair value of $1,073,900. the balances in salzer company’s common stock and retained earnings accounts on the date of acquisition were $1,197,700 and $611,100, respectively. in general journal form, prepare the entry on salzer company’s books to record the effect of the pushed down values implied by the purchase of its stock by pascal company assuming that values are allocated on the basis of the fair value of salzer company as a whole imputed from the transaction.

Accublade castings inc. casts blades for turbine engines. within the casting department, alloy is first melted in a crucible, then poured into molds to produce the castings. on may 1, there were 230 pounds of alloy in process, which were 60% complete as to conversion. the work in process balance for these 230 pounds was $32,844, determined as follows: exercises during may, the casting department was charged $350,000 for 2,500 pounds of alloy and $19,840 for direct labor. factory overhead is applied to the department at a rate of 150% of direct labor. the department transferred out 2,530 pounds of finished castings to the machining department. the may 31 inventory in process was 44% complete as to conversion. prepare the following may journal entries for the casting department: the materials charged to production the conversion costs charged to production the completed production transferred to the machining department determine the work in process"casting department may 31 balance.

Ben collins plans to buy a house for $166,000. if the real estate in his area is expected to increase in value by 2 percent each year, what will its approximate value be five years from now?

The treasurer for pittsburgh iron works wishes to use financial futures to hedge her interest rate exposure. she will sell five treasury futures contracts at $139,000 per contract. it is july and the contracts must be closed out in december of this year. long-term interest rates are currently 7.30 percent. if they increase to 9.50 percent, assume the value of the contracts will go down by 20 percent. also if interest rates do increase by 2.2 percent, assume the firm will have additional interest expense on its business loans and other commitments of $149,000. this expense, of course, will be separate from the futures contracts. a. what will be the profit or loss on the futures contract if interest rates increase to 9.50 percent by december when the contract is closed out