Part 1. Monday Co. acquired the assets of Weld Comp How to solve this problem Appraised values 1. Determine the total acquistion cost of the assets. Land $200,000 New assets are valued at the market value of the consideration given if Building 600,000 available, if not then use the market value of new assets. Machiner 400.000 2. Allocated cost =Multiply amount paid by the ratio of appraised value Total $1,200,000 of each asset to the total appraised value. Monday Company gave 12,500 shares of its 3. Debit each asset by the allocated cost $10 par value common stock in exchange. 4. Credit Common stock at par and Credit APIC for the excess of market Market Value $84. per share Appraised values Ratio: Allocated Cost Land $200,000 Building 600,000 Machiner 400.000 1,200,000 Total Prepare Journal entry for acquistion D ebits Credits