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only need goodwill and retained earnings 12/31. rest are right Following are preacquisition financial balances for Padre Company and Sol Company as of December 31.
only need goodwill and retained earnings 12/31. rest are right
Following are preacquisition financial balances for Padre Company and Sol Company as of December 31. Also included are fair values for Sol Company accounts, Padre Company Sol Company Book Values BOOK Values Pair Values 12/31 12/31 12/31 Cash 240,250 71,300 $ 71,300 Receivables 253,500 341,000 341,000 Inventory 490,000 243,000 300, 400 Land 637.500 195,000 165,200 nuilding and equipment (net) 745,000 274,000 334,800 Franchise agreements 317,000 241,000 271,300 Accounts payable (302,000) (164,000) (164,000) Accrued expenses (100.000) (37,000) (37,000) Longterm liabilities (1,040,000) (552,500) (552,500) Common stock-$20 par value (660,000) Common stock-55 par value (210,000) Additional paid in capital (70.000) (90.000) Retained earnings, 1/1 (465.000) (205,000) Revenues 1984,250) (43), 800) Expenses 930,000 407,000 Note: Parentheses Indicate a credit balance. On December 31, Padre acquires Sol's outstanding stock by paying $165,000 in cash and issuing 16,300 shares of its own common stock with a fair value of $40 per share. Padre paid legal and accounting fees of $21.900 as well as $10,000 in stock issuance costs Determine the value that would be shown in Padre's consolidated financial statements for each of the accounts listed. (Input all amounts as positive values.) Accounts Amounts Inventory Land $ 790,400 $ 802,700 $ 1,079,800 588,300 Buildings and equipment Franchise agreements $ Goodwill $ $ Revenues Additional paid-in capital Expenses Retained earnings, 1/1 Retained earnings, 12/31 984,250 386,000 959,900 465,000 $ $ Step by Step Solution
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