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I just need the investmentin Aaron please Following are separate financial statements of Michael Company and Aaron Company as of December 31, 2018 (credit balances
I just need the investmentin Aaron please
Following are separate financial statements of Michael Company and Aaron Company as of December 31, 2018 (credit balances indicated by parentheses). Michael acquired all of Aaron's outstanding voting stock on January 1, 2014, by issuing 20,000 shares of its own $1 par common stock. On the acquisition date, Michael Company's stock actively traded at $24 per share. Aaron Company 12/31/18 $ (417,000) 163,500 88,000 $ $ (165,500) (549, 000) (165,500) 5,000 $ Revenues Cost of goods sold Amortization expense Dividend income Net income Retained earnings, 1/1/18 Net income (above) Dividends declared Retained earnings, 12/31/18 Cash Receivables Inventory Investment in Aaron Company Copyrights Royalty agreements Total assets Liabilities Preferred stock Common stock Additional paid-in capital Retained earnings, 12/31/18 Total liabilities and equity Michael Company 12/31/18 $ (742,000) 336,000 142,500 (5,000) $ (268,500) $ (934,000) (268,500) 90,000 $(1, 112,500) $ 208,000 390,000 656,000 480,000 555,000 1,011,000 $ 3,300,000 $(1,087,500) (300,000) (500,000) (300,000) (1,112,500) $ (3,300,000) (709,500) 24,100 307,000 354,000 403,000 471,000 $ 1,559,100 $ (719,600) (100,000) (30,000) (709,500) $(1,559,100) Following are separate financial statements of Michael Company and Aaron Company as of December 31, 2018 (credit balances indicated by parentheses). Michael acquired all of Aaron's outstanding voting stock on January 1, 2014, by issuing 20,000 shares of its own $1 par common stock. On the acquisition date, Michael Company's stock actively traded at $24 per share. Aaron Company 12/31/18 $ (417,000) 163,500 88,000 $ $ (165,500) (549, 000) (165,500) 5,000 $ Revenues Cost of goods sold Amortization expense Dividend income Net income Retained earnings, 1/1/18 Net income (above) Dividends declared Retained earnings, 12/31/18 Cash Receivables Inventory Investment in Aaron Company Copyrights Royalty agreements Total assets Liabilities Preferred stock Common stock Additional paid-in capital Retained earnings, 12/31/18 Total liabilities and equity Michael Company 12/31/18 $ (742,000) 336,000 142,500 (5,000) $ (268,500) $ (934,000) (268,500) 90,000 $(1, 112,500) $ 208,000 390,000 656,000 480,000 555,000 1,011,000 $ 3,300,000 $(1,087,500) (300,000) (500,000) (300,000) (1,112,500) $ (3,300,000) (709,500) 24,100 307,000 354,000 403,000 471,000 $ 1,559,100 $ (719,600) (100,000) (30,000) (709,500) $(1,559,100)Step by Step Solution
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