Answered step by step
Verified Expert Solution
Question
1 Approved Answer
On June 30, 2020, Wisconsin, inc, issued $92,400 in debt and 23,400 new shares of its $10 par value stock to Badger Company owners in
On June 30, 2020, Wisconsin, inc, issued $92,400 in debt and 23,400 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, 2020, were as follows (credit balances in parentheses): Wisconsin also paid $35,800 to a broker for arranging the transaction. In addition, Wisconsin paid $41,900 in stock issuance costs. Badger's equipment was actually worth $821,500, but its patented technology was valued at only $305,700. What are the consolidated balances for the following accounts? (input all amounts as positive values) Wisconsin also paid $35,800 to a broker for arranging the transaction. In addition, Wisconsin paid $41,900 in stock issuance costs. Badger's equipment was actually worth $821,500, but its patented technology was valued at only $305,700. What are the consolidated balances for the following accounts? (Input all amounts as positive values) Answer is complete but not entirely correct
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