On January 1, 2017 Subic Company issued shares of its P5 par value stock to acquire of Financial Position for Subic Company and Statement of Financial Position for the all the shares of Clark Inc. which was liquidated immediately thereafter. The Statement Problem 13-10 combined company under the purchase method are presented below: Combined Company Subic Company Cash Accounts Receivable Inventory Land Buildings and Equipment Less: Accumulated Depreciation Goodwill Total Assets P 70,000 130,000 100,000 100,000 400,000 ( 150,000) P100,000 180,000 220,000 175,000 550,000 ( 150,000) 55,000 P1,130,000 P650,000 Accounts Payable Bonds Payable Common Stock Additional Paid-In Capital Retained Earnings Total Liabilities and Equities p 40,000 100,000 200,000 60,000 250,000 P650,000 P60,000 160,000 240,000 420,000 250,000 P1,130,000 Problem 13-10, Continued Required: Shortly after the above information was compiled, a fire destroyed the accounting records. You have been employed to determine the answers to a number of questions raised by the owners of the newly combined company. a. What was the value of the shares issued by Subic Company to acquire Clark, Inc.? b. What was the fair value of the net assets held by Clark Inc. immediately before the combination? c. How many shares of Subic Company were issued in completing the combination? d What was the market price per share of Subic Company stock at the date of combination? Problem 13-11 3 A 1.90 9