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Answer the following question: Following are preacquisition financial balances for BIG Company and SMALL Company as of December 31. Also included are fair values for

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Answer the following question: Following are preacquisition financial balances for BIG Company and SMALL Company as of December 31. Also included are fair values for SMAI I romnanu arrounte (all amnunte are exnreccent in IIS dollars). On 31/12, BIG acquires 100% of SMALL's outstanding shares by paying $81,000 in cash and issuing 2,250 shares of its own ordinary shares with a fair value of $40 per share. BIG paid legal and accounting fees of $4,500 as well as $1,125 in shares issuance costs. SMALL will retain its incorporation. Required: a) Prepare the journal entries on 31/12 to record: (1) the acquisition of SMALL by BIG and (2) the payment of the combination costs. b) Prepare the acquisition-date Fair Value allocation schedule to calculate the Goodwill on 31/12(if any). (Show your calculations with the appropriate titles). c) Prepare the consolidation journal entries on 31/12

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