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On January 1 , 2 0 2 2 , Monica Company acquired 7 0 percent of Young Company's outstanding common stock for $ 7 2
On January Monica Company acquired percent of Young Company's outstanding common stock for $ The falr value of the noncontroling interest at the acquisition date was $
Young reported stockholders' equity accounts on that date as follows:
Common stock$ par value
Additional paidin capital
Retained earnings
$
In establishing the acquisition value, Monica appraised Young's assets and ascertained that the accounting records undervalued a bullding with a fiveyear remaining life by $ Any remaining excess acquisitiondate falr value was allocated to a franchise agreement to be amortized over years.
During the subsequent years, Young sold Monica inventory at a percent gross profit rate. Monica consistently resold this merchandise in the year of acquisition or in the period immediately following. Transfers for the three years after this business combination was created amounted to the following:
tableYeartableTransferPricetableInventoryRemaining at YearEnd at transferprice$$
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