Assume that the following statements of financial position are stated and a book value. Construct a post-merger statement of financial position assuming that Amherst Co. purchases Essex Inc. and the pooling of interests method of accounting is used.

Amherst co. Essex INC.

Current Assets $12,000 Current Assests 3400

Net fixed Asstes 36,000 Net fixed assests 6,400

Total = 48,000 Total 9,800

Current liabilitoes $5,300 Current liab 1,300

long term debt 9,800 long term debt 1,900

equity 32,900 equity 6,600

total = 48,000 total = 9,800