Bunen Inc, acquired 100% of the voting common stock of Vicker 'ne on January 1, 2013 The book value and tair value of Vickers accounts on that dane (prior to creating the combination) follow, along with the book value of Bullen's accounts 5 Assume that Bullen issued 12.000 shares of common stock with a $5 par value and a $42 fair value for all of the outstanding shares of Vicker. What will be the consoldated Additional Paid-In Capital and Rotained Earnings (January 1, 2013 balances) as a result of this acquisition transaction? A $60,000 and $490,000 B. $60,000 and $250,000 C $30,000 and $250.000. D. $464,000 and $250,000 E. $464,000 and $420,000 6. Prior to being united in a business combination, Botkins Inc. and Volkerson Corp. had the following stockholders' equity figures Botkins Volkerson $ 220,000 110,000 25,000 360,000 130,000 Common stock ($1 par value) Additional paid-in capital Retained eamings S 54,000 Bctkins issued 56.000 new shares of its common stock valued at $3.25 per share for ail of the outstanding stock of Volkerson. Assume that Botkins acquired Volkerson on January 1, 2012. At what amount did Botkins record the investment in Volkerson? A $56,000 B. $182,000. C. S209.000. D. $261,000 E. $312,000. The inancial statements for Goodwin Ine, and Corr Compeny for the year ended December 31. 2013. pnor to Goodwin's soquisition business combination transaction regarding Com, folow in thousands) loodwinCorr $2,700 1980 400 5600 Expesscs Net income $400 200 Retainod enernings 1/1 Net income $2,400 720 (270 ) Retained carnings, 12/31 S 220 Cash S 240 1,200 2,700 Reccivables 340 600 and inventory Buildings (nct) Equipment (net) Total assets 2,100 1.200 $6.240 $2,360 S 820 S1,500 1,080 Common stock Additional paid-in capital Retained carnings Total liabilities & stockholders'equity 400 540 810 2830 $240 $2.360 On December 31, 2013, Goodwin issued $600 in deet and 30 shares of its $10 par value common stock to the oumers of Corr to acquire all of the outstanding shares of that company. Ooodwin shares had a fair value of $40 per share Goodwin paid $25 to a broker for arranging the transaction Goodwin paid $35 in stock ssuance costs Cor's equpment was actusly worth $1,400 but its buldings were ony valued ar $560 9 Compute the consolidated equipment (net) account at December 31, 2013. A $2,100 B. $3.500 C. $3,300 D. $3.000 E. $3.200 Bunen Inc, acquired 100% of the voting common stock of Vicker 'ne on January 1, 2013 The book value and tair value of Vickers accounts on that dane (prior to creating the combination) follow, along with the book value of Bullen's accounts 5 Assume that Bullen issued 12.000 shares of common stock with a $5 par value and a $42 fair value for all of the outstanding shares of Vicker. What will be the consoldated Additional Paid-In Capital and Rotained Earnings (January 1, 2013 balances) as a result of this acquisition transaction? A $60,000 and $490,000 B. $60,000 and $250,000 C $30,000 and $250.000. D. $464,000 and $250,000 E. $464,000 and $420,000 6. Prior to being united in a business combination, Botkins Inc. and Volkerson Corp. had the following stockholders' equity figures Botkins Volkerson $ 220,000 110,000 25,000 360,000 130,000 Common stock ($1 par value) Additional paid-in capital Retained eamings S 54,000 Bctkins issued 56.000 new shares of its common stock valued at $3.25 per share for ail of the outstanding stock of Volkerson. Assume that Botkins acquired Volkerson on January 1, 2012. At what amount did Botkins record the investment in Volkerson? A $56,000 B. $182,000. C. S209.000. D. $261,000 E. $312,000. The inancial statements for Goodwin Ine, and Corr Compeny for the year ended December 31. 2013. pnor to Goodwin's soquisition business combination transaction regarding Com, folow in thousands) loodwinCorr $2,700 1980 400 5600 Expesscs Net income $400 200 Retainod enernings 1/1 Net income $2,400 720 (270 ) Retained carnings, 12/31 S 220 Cash S 240 1,200 2,700 Reccivables 340 600 and inventory Buildings (nct) Equipment (net) Total assets 2,100 1.200 $6.240 $2,360 S 820 S1,500 1,080 Common stock Additional paid-in capital Retained carnings Total liabilities & stockholders'equity 400 540 810 2830 $240 $2.360 On December 31, 2013, Goodwin issued $600 in deet and 30 shares of its $10 par value common stock to the oumers of Corr to acquire all of the outstanding shares of that company. Ooodwin shares had a fair value of $40 per share Goodwin paid $25 to a broker for arranging the transaction Goodwin paid $35 in stock ssuance costs Cor's equpment was actusly worth $1,400 but its buldings were ony valued ar $560 9 Compute the consolidated equipment (net) account at December 31, 2013. A $2,100 B. $3.500 C. $3,300 D. $3.000 E. $3.200
