A 100% stock acquisition of Sub Company by Parent Company (via Parent Stock Issues) would require which
Question:
a) DR - Investment in Sub Company
b) CR - Investment in Sub Company
c) DR - Common Stock
d) None of the above
Transcribed Image Text:
Parent Company Balance Sheet Sub Company Balance Sheet Book Value $250,000 $30,000 $150,000 S100,000 S600,000 $150,000 S980,000 $20,000 S100,000 $560,000 S300,000 S980,000 Assets, Liabilities & Equities Cash AR Inventorv Assets, Liabilities & Equities Cash AR Inventory an an Plant and Equipment Less: Accumulated Depreciation Plant and Equipment Less: Accumulated Depreciation Total Assets AP Common Stock Additional Paid In Capital Retained Eamings Total Assets AP Common Stock Additional Paid In Capital Retained Eamings Total Liabilities & Equity Total Liabilities & Equity
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Related Book For
Modern Advanced Accounting In Canada
ISBN: 9781259066481
7th Edition
Authors: Hilton Murray, Herauf Darrell
Question Posted:
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