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i need the answer quickly Q1/On January 31, 2005, La Salle Corporation acquired for $540,000 cash all the net assets except Cash of De Soto
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Q1/On January 31, 2005, La Salle Corporation acquired for $540,000 cash all the net assets except Cash of De Soto Company and paid $60.000 cash to a taw firm for legal services in connection with the business combination. The balance sheet of De Soto Company on January 31, 2005, prior to the business combination was as follows: DE SOTO Company Balance Sheet (Prior to business combination January 31, 2005 Assets Liabilities and Stockholders' Equity Cash $ 40,000 Liabilities Other current assets (net) 280,000 Common stock, 51 par 250,000 Plant assets (net) 760,000 Retained Earnings 330.000 Intangible assets (net) Total assets $1.200.000 Total liabilities and stockholders equity $1,200,000 $ 620,000 120 000 The current fair value of De Soto's liabilities on January 31, 2005, was $620,000. The current fale values of its noncash assets were as follows on January 31, 2005 Other current assets $300,000 Plant assets 874,000 Intangible assets 76,000 Instruction: Prepare journal entries for La Salle Corporation on January 31, 2005 to record the acquisition of the net assets of De Soto Company except cashStep by Step Solution
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