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answer only if ypu know this problem ... thank you On January 1, 2017, Holland Corporation paid $7 per share to a group of Zeeland

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On January 1, 2017, Holland Corporation paid $7 per share to a group of Zeeland Corporation shareholders to acquire 60,000 shares of Zeeland's outstanding voting stock, representing a 60 percent ownership interest. The remaining 40,000 shares of Zeeland continued to trade in the market close to its recent average of $5.00 per share both before and after the acquisition by Holland. Zeeland's acquisition date balance sheet follows: Current assets Property and equipment (net) Patents $ 16,200 210,200 218,600 $ 445,000 Liabilities Common stock Retained earnings $ 245,000 100,000 100,000 $ 445,000 On January 1, 2017, Holland assessed the carrying amount of Zeeland's equipment (5-year remaining life) to be undervalued by $45,000. Holland also determined that Zeeland possessed unrecorded patents (10-year remaining life) worth $244,800. Zeeland's acquisition-date fair values for its current assets and liabilities were equal to their carrying amounts. Any remaining excess of Zeeland's acquisition-date fair value over its book value was attributed to goodwill. The companies' financial statements for the year ending December 31, 2018, follow: $ Sales Cost of goods sold Depreciation expense Amortization expense Other operating expenses Equity in Zeeland earnings Separate company net income Holland (524,100) 265,900 65,500 16,200 60,800 (59,112) (174,812) Zeeland $ (450,500) 211,000 31,800 18,800 56,900 0 $(132,000) $ The companies' financial statements for the year ending December 31, 2018, follow: Sales Cost of goods sold Depreciation expense Amortization expense Other operating expenses Equity in Zeeland earnings Separate company net income Holland $ (524,100) 265,900 65,500 16, 200 60,800 (59,112) $ (174,812) Zeeland $ (450,500) 211,000 31,800 18,800 56,900 0 $ (132,000) $ Retained earnings 1/1 Net income Dividends declared Retained earnings 12/31 (822,400) (174,812) 50,000 (947,212) $ (355,900) (132,000) 30,000 $ (457,900) $ $ Current assets Investment in Zeeland Property and equipment (net) Patents Total assets 127,200 594,564 859,000 153,400 $ 1,734,164 $ 103,500 0 281,000 178,500 $ 563,000 Liabilities Common stock - Holland Common stock - Zeeland Retained earnings 12/31 Total liabilities and owners equity $ (466,952) (320,000) 0 (947,212) $(1,734,164) $ (5,100) 0 (100,000) (457,900) $ (563,000) At year-end, there were no intra-entity receivables or payables. At year-end, there were no intra-entity receivables or payables. a. Compute the amount of goodwill recognized in Holland's acquisition of Zeeland and the allocation of goodwill to the controlling and noncontrolling interest. b. Show how Holland determined its December 31, 2018, Investment in Zeeland account balance. c. Prepare a worksheet to determine the amounts that should appear on Holland's December 31, 2018, consolidated financial statements. Complete this question by entering your answers in the tabs below. Req A and B Reqc a. Compute the amount of goodwill recognized in Holland's acquisition of Zeeland and the allocation controlling and noncontrolling interest. b. Show how Holland determined its December 31, 2018, Investment in Zeeland account balance. Amount a1. Goodwill Controlling Interest NCI a2 Goodwill allocation Amount b. Investment in Zeeland 12/31/18 Consolidated Accounts Noncontrolling Interest Totals Sales RATION ANU ZEELANU LUNCURATIUN Consolidation Worksheet For Year Ending December 31, 2018 Consolidation Entries Holland Zeeland Debit Credit $ (524,100) $ (450,500) 265,900 211,000 65,500 31,800 16,200 18,800 60,800 56,900 (59,112) 0 $ (174,812) $ (132,000) + 0 Cost of goods sold Depreciation expense Amortization expense Other operating expenses Equity in Zeeland earings Separate company net income Consolidated net income Noncontrolling interest in CNI Controlling interest net income Retained earnings, 1/1/18 Net income Dividends declared Retained earnings, 12/31 Current assets Investment in Zeeland, Inc Property and equipment (net) Patents Goodwill $ 0 $ $ (822,400) $ (355,900) (174,812) (132,000) 50,000 30,000 $ (947,212) $ (457,900) $ 127,200 $ 103,500 594,564 0 859,000 281,000 153,400 178,500 0 0 Total assets $ 1,734,164 $ 563,000 $ 0 Check my w 60,800 56,900 (59,112) 0 $ (174,812) $ (132,000) 0 $ 0 Other operating expenses Equity in Zeeland earings Separate company net income Consolidated net income Noncontrolling interest in CNI Controlling interest net income Retained earnings, 1/1/18 Net income Dividends declared Retained earnings, 12/31 Current assets Investment in Zeeland, Inc Property and equipment (net) Patents $ (822,400) $ (355,900) (174,812) (132,000) 50,000 30,000 $ (947,212) $ (457,900) $ 127,200 $ 103,500 594,564 0 859,000 281,000 153,400 178,500 0 0 $ 1,734,164 $ 563,000 (466,952) (5,100) (320,000) (100,000) Goodwill Total assets Liabilities $ 0 Common stock Noncontrolling interest Retained earnings, 12/31 Total liabilities and equities (947,212) (457,900) $ (1,734,164) $ (563,000) $ 0 $ 0 $ 0

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