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Following are selected accounts for Green Corporation and Vega Company as of December 31, 2023. Several of Green's accounts have been omitted. Green Vega Revenues

Following are selected accounts for Green Corporation and Vega Company as of December 31, 2023. Several of Green's accounts have been omitted.

Green

Vega

Revenues

$

900,000

$

500,000

Cost of goods sold

360,000

200,000

Depreciation expense

140,000

40,000

Other expenses

100,000

60,000

Equity in Vegas income

?

Retained earnings, 1/1/2023

1,350,000

1,200,000

Dividends

195,000

80,000

Current assets

300,000

1,380,000

Land

450,000

180,000

Building (net)

750,000

280,000

Equipment (net)

300,000

500,000

Liabilities

600,000

620,000

Common stock

450,000

80,000

Additional paid-in capital

75,000

320,000

Green acquired 100% of Vega on January 1, 2019, by issuing 10,500 shares of its $10 par value common stock with a fair value of $95 per share. On January 1, 2019, Vega's land was undervalued by $40,000, its buildings were overvalued by $30,000, and equipment was undervalued by $80,000. The buildings have a 20-year life and the equipment has a 10-year life. $50,000 was attributed to an unrecorded trademark with a 16-year remaining life. There was no goodwill associated with this investment.

Compute the December 31, 2023, consolidated revenues.

Multiple Choice

  • $1,400,000.

  • $800,000.

  • $500,000.

  • $1,590,375.

  • $1,390,375.

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