Flash, Inc. acquires all of the outstanding stock of Slow Co. on January 1, 2023 for the following considerations: 1. 10,000 shares of its common stock that has a fair value of $340,000. 2. A contingent cash payment of $38,500 at the beginning of 2024 if Slow generates sufficient operating cash flows in 2023. The estimated fair value of the contingent cash payment is $14,700 on the acquisition date. 3. A payment of sufficient shares to ensure the value of stock issued. The estimated fair value of the contingent stock payment is $3,600 on the acquisition date. Assume that Slow generates sufficient operating cash flow in 2023. When Flash records the payment of cash in satisfaction of its contingent cash obligation in the beginning of 2024, it should credit "Contingent performance obligation" by $14,700. credit "Contingent performance obligation" by $38,500. debit "Loss from revaluation of contingent performance obligation" by $14,700. debit "Loss from revaluation of contingent performance obligation" by $23,800.

Flash, Inc. acquires all of the outstanding stock of Slow Co. on January 1, 2023 for the following considerations: 1. 10,000 shares of its common stock that has a fair value of $340,000. 2. A contingent cash payment of $38,500 at the beginning of 2024 if Slow generates sufficient operating cash flows in 2023 . The estimated fair value of the contingent cash payment is $14,700 on the acquisition date. 3. A payment of sufficient shares to ensure the value of stock issued. The estimated fair value of the contingent stock payment is $3,600 on the acquisition date. Assume that Slow generates sufficient operating cash flow in 2023. When Flash records the payment of cash in satisfaction of its contingent cash obligation in the beginning of 2024 , it should credit "Contingent performance obligation" by $14,700. credit "Contingent performance obligation" by $38,500. debit "Loss from revaluation of contingent performance obligation" by $14,700. debit "Loss from revaluation of contingent performance obligation" by $23,800