Answered step by step
Verified Expert Solution
Question
1 Approved Answer
I need some help with thus question. Use Chapter 2 Problem 34 on Page 85 To prepare the following: 1. Prepare NewTune's journal entries to
I need some help with thus question.
Use Chapter 2 Problem 34 on Page 85 To prepare the following: 1. Prepare NewTune's journal entries to record the acquisition of On-the-Go, assuming that On- the-Go's will be dissolved and no longer exist as a legal entity: 2. Prepare NewTune's journal entries to record the acquisition of On-the-Go, assuming that no dissolution takes place and both companies retain their separate legal identities. 14. Os January 1, NowTune Company exchanges 15.000 shares of its common stock for all of the outstanding shares of On the Go Ino Each of Newesha bara 54 purvator and a soft alue. The fair value of the stock exchanged in the acquisition was considered equal to the Go's fair value New Tune also paid $25.000 in stock roguration and acts connection with the merger Several of On-the-Go accounts Giras differ from the book values on this date (credit balances in theses Receivables Trademarks Record music catalog In-process research and development Notes payable Book Values 565,000 95.000 60.000 -0- (50.000) Hair Values $67.000 225.000 110,000 200,000 recombination Book Values for the two companies to Cach Receivables Trademarks Brood met pen) TO Accounts payable Nous payable Common flod Additional paid in capital Retained earnings To New 5 60,000 150,00 400.000 B000 120.000 $ 170.000 5 (110.000) 70.000) (400.000) (30.000 (60,000) 5(1.720,000) Os the 529.000 65.000 95.000 0.000 105.000 $154.600 50.000 50.000) (50.0001 (30.000) (190.000 $1354.000 Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started