Black Co. acquired 100% of Blue, Inc. on January 2023. On that date, Blue had land...
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Black Co. acquired 100% of Blue, Inc. on January 2023. On that date, Blue had land with a book value of $38,000 and a fair value of $49,000. Also, on the date of acquisition, Blue had a building with a book value of $400,000 and a fair value of $450,000. Blue had equipment with a book value of $350,000 and a fair value of $310,000. The building had a 5-year remaining useful life and the equipment had a 10- year remaining useful life. How much total expense will be in the consolidated financial statements for the year ended December 31, 2023 related to the acquisition allocations of Blue? Black Co. acquired 100% of Blue, Inc. on January 2023. On that date, Blue had land with a book value of $38,000 and a fair value of $49,000. Also, on the date of acquisition, Blue had a building with a book value of $400,000 and a fair value of $450,000. Blue had equipment with a book value of $350,000 and a fair value of $310,000. The building had a 5-year remaining useful life and the equipment had a 10- year remaining useful life. How much total expense will be in the consolidated financial statements for the year ended December 31, 2023 related to the acquisition allocations of Blue?
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Related Book For
Intermediate Accounting
ISBN: 978-0077400163
6th edition
Authors: J. David Spiceland, James Sepe, Mark Nelson
Posted Date:
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