B C Chapter 26-Dropbox 6.4 Problem 1: Balance Sheets for Mergers E F G H Silver Enterprises has acquired All Gold Mining in a merger transaction. The following Balance Sheets represent the pre-merger book values for both firms: Silver Enterprises Current assets $ 5,300 Current liabilities $ Other assets $ 1,500 Long-term debt $ Net fixed assets $ 17,900 Equity Total $ 24,700 SSSA 3,100 7,800 $ 13,800 $ 24,700 All Gold Mining Current assets $ Other assets $ Net fixed assets Total SSSS 1,400 Current liabilities $ 1,460 570 Long-term debt $ S $ 7,400 Equity 9,370 $ 7,910 $ 9,370 K The market value of All Gold Mining's fixed assets is $9,100; the market value for current and other assets are the same as the book values. Assume that Silver Enterprises issues $15,000 in new long-term debt to finance the acquisition. Construct the balance sheet for the new corporation if the merger is treated as a purchase of interests for accounting purposes. Use the Template Provided Below to Create Your Solution - Pay close attention to the formulas and formatting of the inputs. 1 Current assets Other assets Net fixed assets Total Current assets Other assets Net fixed assets Total Silver Enterprises Current liabilities Long-term debt Equity $ All Gold Mining $ Market value of fixed assets New long-term debt 3 Output Area: 4 15 46 47 48 Current assets $ Other assets 49 50 51 Net fixed assets Goodwill Total Current liabilities Long-term debt Equity Silver Enterprises - Post Merger $ $ Current liabilities $ Long-term debt Equity $ 9