A Part 1. M Co. acquired the assets of W Company. Land Building Machinery and equipment Total B C D Appraised values $200 000 600 000 400 000 $1 200 000 1. Determine the t New assets are valu market value of new 2. Allocated cost =M appraised value. 3. Debit each asset b 4. Credit Common st Allocated Cost M Company gave 12,500 shares of its $10 par value common stock in exchange for W's assets, when the Market Value was $ 84. per share 2 Land 3 Building 4 Machinery and equipment 5 Total Appraised values Ratio $200 000 600 000 400 000 $1 200 000 16 17 18 INSTRUCTIONS Prepare Journal entry for the lump sum acquistion fo the assets of W Company 19 DESCRIPTION Debits Credits 20 21 22 23 24 25