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I need help with these. Can someone provide me with the solutions MGMT E-2600 Homework #9 Due: November 17, 2015 by 11:59pm EST ! !
I need help with these. Can someone provide me with the solutions
MGMT E-2600 Homework #9 Due: November 17, 2015 by 11:59pm EST ! ! ! Topic: Fair-Value Method of Accounting 1. Following is a portion of the investments footnote from Snap Chat Inc. 2014 10-K. (in millions) 2014 Amortized cost of available-for-sale securities Gross unrealized gains ! ! ! ! ! ! ! ! ! ! Gross unrealized losses $420,518 10,088 $ 29,987 What amount does Snap Chat report for available-for-sale securities on its 2014 balance sheet? Topic: Dividends 2. Parker Corp. holds a 15% equity investment in Schmidt Inc. Tanner Investments holds 35% of Schmidt Inc. stock. On May 1, 2014, Schmidt Inc. declares and pays dividends to its stockholders. How will the dividend affect each company's balance sheet account: Schmidt Inc. investment? ! ! ! ! For Example: Increase, Decrease, No Effect And Explain your rationale. Parker Corp. ! ! ! ! ! ! ! Tanner Investments ! Topic: Trading Securities - Financial Statements Effects Template 3. Record the following transactions of HES Inc. in the financial statements effects template below. ! ! 1) Purchased 2,800 shares of JT Marlin Corp. common stock for $25 per share. These securities are publicly traded and HES classifies them as trading securities. 2) Received a cash dividend of $2 per share from JT Marlin. 3) Year-end market price of JT Marlin common stock is $19 per share. 4) Sold 1,200 shares for $16 per share, the closing price for the day. Income Statement Balance Sheet Transaction Cash Asset + Noncash Assets = Liabilities + Contrib. Capital + Earned Capital Revenues - Expen -ses = 1) - = 2) = - = 3) = - = 4) ! ! ! ! ! ! ! ! = = - Net Incom e = Topic: Consolidation - Calculating Goodwill 4. Gezotis Bank and Trust and First Gandevani Bank merge on January 1, 2014. Before the merger transaction, the balance sheets of the two companies are as follows: ! (in millions) Chicago Bank & Trust First United Bank Assets $2,950 $1,450 Liabilities $1,275 $ 825 Common stock ($1 par value) 150 100 Additional paid-in capital 225 125 1,300 400 $2,950 $1,450 Retained earnings ! Total liabilities and equities Gezotis Bank and Trust issues 75,000 shares of its common stock with a market value of $885 million to the owners of First Gandevani Bank in return for all of their shares of First Gandevani common stock. The assets of First Gandevani have a market value in excess of book value of $29 million. ! The consolidated balance sheet of Gezotis Bank and Trust at January 1, 2014 would report goodwill ofStep by Step Solution
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