Question
Additional Question - What journal entries would Lenovo have recorded in 2009 if the securities that were classified as available for sale had, instead ,
Additional Question - What journal entries would Lenovo have recorded in 2009 if the securities that were classified as available for sale had, instead, been classified as trading securities since their inception? Make sure it is clear what type of account you are using (e.g., asset, shareholder's equity, income statement).
CASH FLOW STATEMENT
Gian/Loss on sale - of equipment and other assets -1
FOOTNOTES
securities available for sale 209
beg year - 68
net realized gain transfer equity 32
disposals -4
acquistions 6
end of year 102
---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
in their 2006 annual report, Company D disclosed the following: Business combinations On April 30, 2005, the Group completed the acquisition of company E's business. The estimated total consideration for acquiring the Business is $10,400 million, including cash and the Company's shares. Set forth below is a preliminary allocation of the purchase price ($ '000,000):
-purchase considerations
-cash 5,958
-fair value of shares issued 4,442
-total purchase considerations 10,400
The major components of identifiable assets and liabilities arising from the acquisition are as follows:
fair value company E's carrying value
-property, plant equipment 627 611
-brands 4,735 -
-liabilities (5,199) (5,220)
-------------------
-net identifiable assets acquired 163 (4,609)
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started