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Parker, Inc. acquires 70 percent of Sawyer Company for $420,000 The remaining 30 percent of Savyer's outstanding shares continue to trade at a collective value
Parker, Inc. acquires 70 percent of Sawyer Company for $420,000 The remaining 30 percent of Savyer's outstanding shares continue to trade at a collective value of $174,000 On the acquisition date, Sawyer has the following accounts: The butidings have a 10 -year remaining ife. In additon, Sawyer holds o patent worth $140,000 that has a five-year remaining ife but is not recorded on its financial records. At the end of the year, the two companles report the following balances: 0. Assume that the ocquisition took place on January 1. What figures would appeor in a consolidated income statement for this year? b. Assume that the acquisition took place on April 1 Sawyer's revenues and expenses occurred uniformly throughout the yeac What amounts would appeor in a consolidated income statement for this year
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