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could i get help with this part right here? ty! need help with entry to S corp On December 31, 200X P Corporation paid $300,000
could i get help with this part right here? ty!
need help with entry to S corp
On December 31, 200X P Corporation paid $300,000 cash for 80% of the common stock of Company which becomes a subsidiary. Following information is shown prior to the acquisition being recorded: P Company Assets Liabilities and Equity Liabilities 90,000 Cash Inventories Plant 580,000 60,000 340,000 Common Stock, $5pv Paid in Capital Retained Earnings Total 100,000 200,000 590,000 980,000 Total 980,000 Assets Inventories Other assets Plant 20,000 40,000 140,000 S Company Liabilities and Equity Liabilities Long Term Debt Common Stock, $10 pv Paid in Capital Retained Earnings Total 30,000 50,000 40,000 20,000 60,000 200,000 Total 200,000 S market values are: Plant Inventory $250,000 $50,000 300,000 Entry to record the purchase of S Company: Investment in S Company Cash Entry in the P Corporation General Ledger to record the purchase of 80% of S Company. 300,000 Cash 580,000 Investment in S Co. On December 31, 200X P Corporation paid $300,000 cash for 80% of the common stock of Company which becomes a subsidiary. Following information is shown prior to the acquisition being recorded: P Company Assets Liabilities and Equity Liabilities 90,000 Cash Inventories Plant 580,000 60,000 340,000 Common Stock, $5pv Paid in Capital Retained Earnings Total 100,000 200,000 590,000 980,000 Total 980,000 Assets Inventories Other assets Plant 20,000 40,000 140,000 S Company Liabilities and Equity Liabilities Long Term Debt Common Stock, $10 pv Paid in Capital Retained Earnings Total 30,000 50,000 40,000 20,000 60,000 200,000 Total 200,000 S market values are: Plant Inventory $250,000 $50,000 300,000 Entry to record the purchase of S Company: Investment in S Company Cash Entry in the P Corporation General Ledger to record the purchase of 80% of S Company. 300,000 Cash 580,000 Investment in S Co Step by Step Solution
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