Business, 05.05.2020 08:00 mjackson7208
Condensed balance sheets for Rich Company and Jordan Company on January 1, 2016 are as follows:
Rich
Jordan
Current Assets
$ 440,000
$200,000
Plant and Equipment (net)
1,080,000
340,000
Total Assets
$1,520,000
$540,000
Total Liabilities
$ 230,000
$ 80,000
Common Stock, $10 par value
840,000
240,000
Other Contributed Capital
300,000
130,000
Retained Earnings
150,000
90,000
Total Equities
$1,520,000
$540,000
On January 1, 2016 the stockholders of Rich and Jordan agreed to a consolidation whereby a new corporation, Cannon Company, would be formed to consolidate Rich and Jordan. Cannon Company issued 70,000 shares of its $20 par value common stock for the net assets of Rich and Jordan. On the date of consolidation, the fair values of Rich's and Jordan's current assets and liabilities were equal to their book values. The fair value of plant and equipment for each company was: Rich, $1,270,000; Jordan, $360,000.
An investment banking house estimated that the fair value of Cannon Company's common stock was $35 per share. Rich will incur $45,000 of direct acquisition costs and $15,000 in stock issue costs.
Required:
Prepare the journal entries to record the consolidation on the books of Cannon Company assuming that the consolidation is accounted for as an acquisition.
Answers: 1
Business, 21.06.2019 15:00
Pursuant to the video, if the news reporter had challenged the reasonableness of her detention by the coach store, coach could have claimed the which is also known as merchant protection statutes according to the book.
Answers: 2
Business, 21.06.2019 15:20
The beginning inventory is expected to be 2,000 cases. expected sales are 10,000 cases, and the company wishes to begin the next period with an inventory of 1,000 cases. the number of cases the company must purchase during the month is multiple choice 9,000 cases. 10,000 cases. 11,000 cases. 13,000 cases.
Answers: 1
Business, 22.06.2019 03:00
In the supply-and-demand schedule shown above, at the lowest price of $50, producers supply music players and consumers demand music players.
Answers: 2
Business, 22.06.2019 10:00
You are president of a large corporation. at a typical monthly meeting, each of your vice presidents gives standard area reports. in the past, these reports have been good, and the vps seem satisfied about their work. based on situational approach to leadership, which leadership style should you exhibit at the next meeting?
Answers: 2
Condensed balance sheets for Rich Company and Jordan Company on January 1, 2016 are as follows:
Mathematics, 25.11.2020 02:10
Social Studies, 25.11.2020 02:10
Business, 25.11.2020 02:10
Social Studies, 25.11.2020 02:10
Health, 25.11.2020 02:10
Mathematics, 25.11.2020 02:10
Mathematics, 25.11.2020 02:10
Mathematics, 25.11.2020 02:10