On May 29, 2018 Microchip Technology Incorporated acquired all of the outstanding stock of Microsemi Corporation in exchange for 8.19 billion in cash to the stockholder of Microsemi. Referring to Microchips March 31, 2019 financial statements and any media coverage answer the following questions regarding the Microsemi acquisition.

1. Why did microchip acquire Microsemi?

2. What accounting method was used?

3. What amount did Microchip include in precombination service compensation (for acquisition-related equity awards) in the total consideration transferred? What support is provided for this treatment in the Accounting Standards Codification (see ASC 805-30-30, paragraphs 9-13)?

4. What allocation did Microchip make to the assets acquired and liabilities assumed in the acquisition? Provide a calculation showing how Microchip determined the amount allocated to Goodwill.

5. How will Microchip account for the core technology and the in-process research and development acquired in the Microsemi combination?