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ABC company acquired a 100% of XYZ company for $1,780,000. The book value and fair values of XYZ assets were as follows: Book Value Fair
ABC company acquired a 100% of XYZ company for $1,780,000. The book value and fair values of XYZ assets were as follows:
|
| Book Value | Fair Value |
| Current assets | 400,000
| 700,000 |
| Equipment | 200,000
| 300,000 |
| Land & buildings | 600,000
| 800,000 |
| Total assets | 1,200,000
| 1,900,000 |
Immediately following the acquisition, equipment of XYZ will be included on the consolidated balance sheet at:
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