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Alpha acquired 100% of Omega on 1/2/16 for $495,000 in cash. Following is a list of the Omegas assets, liabilities and equity, both book value
Alpha acquired 100% of Omega on 1/2/16 for $495,000 in cash. Following is a list of the Omegas assets, liabilities and equity, both book value and fair market value, at that date.
Account | Book Value | Fair market value |
Cash | $11,000 | $11,000 |
Accounts Receivable | $65,000 | $60,000 |
PP&E (net) | $115,000 | $150,000 |
Land | $250,000 | $310,000 |
Accounts Payable | $52,000 | $54,000 |
Common Stock | $104,000 | |
Retained Earnings | $285,000 |
At the acquisition date, the differential was $ and the goodwill was $
The entry made by the parent on the acquisition date was to debit the account for and credit the account for
(c and e ask for account names)
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