Question
could someone please help? thank you Acquisition Cost Potluck Corp. acquired all of the net assets of Sauers Corp. on June 30, 2016, in an
could someone please help?
thank you
Acquisition Cost Potluck Corp. acquired all of the net assets of Sauers Corp. on June 30, 2016, in an acquisition reported as a merger. the fair values of Sauers Corp.'s identifiable net assets at the date of acquisition are as follows:
Tangible assets $25,000,000
Intangible assets 90,000,000
Liabilities 55,000,000
Potluck pays $100 million in cash and issues 1,500,000 shares of stock to the former owners of Sauers. Potluck's stock has a par value of $1/share. the market price of the shares at the date of acquisition, $40/share, is used to value the shares issued. registration fees for the stock are $750,000, and legal and consulting fees connected with the acquisition are $900,000, both paid in cash.
Required
Record the acquisition on June 30, 2016
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