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On June 30, 2013, Wisconsin, Inc., issued $300,000 in debt and 15,000 new shares of its $10 par value stock to Badger Company owners in

On June 30, 2013, Wisconsin, Inc., issued $300,000 in debt and 15,000 new shares of its $10 par value stock to Badger Company owners in exchange for all of the outstanding shares of that company. Wisconsin shares had a fair value of $40 per share. Prior to the combination, the financial statements for Wisconsin and Badger for the six-month period ending June 30, 2013, were as follows:

Wisconsin

Badger

Revenues

$ (900,000)

$ (300,000)

Expenses

660,000

200,000

Net income

$ (240,000)

$ (100,000)

Retained earnings, 1/1

$ (800,000)

$ (200,000)

Net income

(240,000)

(100,000)

Dividends paid

90,000

0

Retained earnings, 6/30

$ (950,000)

$ (300,000)

Cash

$ 80,000

$ 110,000

Receivables and inventory

400,000

170,000

Patented technology (net)

900,000

300,000

Equipment (net)

700,000

600,000

Total assets

$ 2,080,000

$ 1,180,000

Liabilities

$ (500,000)

$ (410,000)

Common stock

(360,000)

(200,000)

Additional paid-in capital

(270,000)

(270,000)

Retained earnings

(950,000)

(300,000)

Total liabilities and equities

$(2,080,000)

$(1,180,000)

Wisconsin also paid $30,000 to a broker for arranging the transaction. In addition, Wisconsin paid $40,000 in stock issuance costs. Badger's equipment was actually worth $700,000, but its patented technology was valued at only $280,000.

What are the consolidated balances for the following accounts?

  1. Net income.
  2. Retained earnings, 1/1/13.
  3. Patented technology.
  4. Goodwill.
  5. Liabilities.
  6. Common stock.
  7. Additional paid-in capital.

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