The Poonamalie Company paid $6,000,000 in cash to the shareholders of the Slys Company for all of Slys’ outstanding shares. Attorneys’ fees related to the combination were $200,000, paid in cash. A comparison of the book and fair values of Slys’ assets and liabilities follows:
Book Value Fair Value
Cash and receivables $50,000 $50,000
Equity method investments 300,000 400,000
Inventory 700,000 300,000
Plant assets, net. 2,000,000 1,200,000
Current liabilities (350,000) (350,000)
Long-term debt (1,800,000) (1,700,000)
Net assets $900,000 $(100,000)
Required
a. Prepare the journal entry made by Poonamalie to record the business combination as a merger.
General Journal
Description Debit Credit
Cash and receivables Answer Answer
Equity method investments Answer Answer
Inventory Answer Answer
Plant assets Answer Answer
AnswerCashGoodwillMerger
expensesInvestment in Slys Answer Answer
Merger expenses (income) Answer Answer
Current liabilities Answer Answer
Long-term debt Answer Answer
AnswerCashGoodwillMerger
expensesInvestment in Slys Answer Answer
b. Prepare the journal entry made by Poonamalie to record the business combination as a stock acquisition.
General Journal
Description Debit Credit
Investment in Slys Answer Answer
AnswerCashGoodwillMerger
expensesInvestment in Slys Answer Answer
AnswerCashGoodwillMerger
expensesInvestment in Slys Answer Answer

What comprises a list of main points and sub-points of a topic to include in a presentation

Pettijohn inc. the balance sheet and income statement shown below are for pettijohn inc. note that the firm has no amortization charges, it does not lease any assets, none of its debt must be retired during the next 5 years, and the notes payable will be rolled over. balance sheet (millions of $) assets 2016 cash and securities $ 1,554.0 accounts receivable 9,660.0 inventories 13,440.0 total current assets $24,654.0 net plant and equipment 17,346.0 total assets $42,000.0 liabilities and equity accounts payable $ 7,980.0 notes payable 5,880.0 accruals 4,620.0 total current liabilities $18,480.0 long-term bonds 10,920.0 total debt $29,400.0 common stock 3,360.0 retained earnings 9,240.0 total common equity $12,600.0 total liabilities and equity $42,000.0 income statement (millions of $) 2016 net sales $58,800.0 operating costs except depr'n $54,978.0 depreciation $ 1,029.0 earnings bef int and taxes (ebit) $ 2,793.0 less interest 1,050.0 earnings before taxes (ebt) $ 1,743.0 taxes $ 610.1 net income $ 1,133.0 other data: shares outstanding (millions) 175.00 common dividends $ 509.83 int rate on notes payable 1. what is the firm's current ratio? (points : 6) 0.97 1.08 1.20 1.33 2. what is the firm's quick ratio? (points : 6) 0.49 0.61 0.73 0.87 3. what is the firm's total assets turnover? (points : 6) 0.90 1.12 1.40 1.68 4. what is the firm's inventory turnover ratio? (points : 6) 4.38 4.59 4.82 5.06 5. what is the firm's debt ratio? (points : 6) 45.93% 51.03% 56.70% 70.00% 6. what is the firm's roa? (points : 6) 2.70% 2.97% 3.26% 3.59% 7. what is the firm's roe? (points : 6) 8.54% 8.99% 9.44% 9.91%

12. to produce a textured purée, you would use a/an a. food processor. b. wide-mesh sieve. c. immersion blender d. food mill.