Part A: ATE Ltd. acquired 80% of the 10,000 voting shares of MER Inc. on Jan. 1, 2020. On the acquisition day, the estimated fair value of MER was $950,000, BV of the reported net assets is $700,000, and the acquisition differential for the reported net assets is 120,000 (Dr). On the acquisition day, ATE also paid $15,000 for the services related to the acquisition. Required: 1) If ATE would like to report higher assets turnover, which theory it should use to report the consolidated balance sheet for this acquisition? 2) If ATE would like to report higher Debt/Equity ratio, how it should finance this acquisition (cash vs. share)? and what theory it should use to report the consolidated balance sheet for this acquisition? 3) Calculate total acquisition cost and total acquisition differential using the given cost information. (Using supporting numbers for your answers) Part B: Black Ltd. acquired 80% of the 100,000 voting shares of Mlack Inc. on July 1, 2021. Among reported net assets, Mlack has bond payable with a face value of $100,000, carrying value of $ 113,136, and market value of $86,970.5. This 10-year bond was issued on Jan. 1, 2021, with a stated interest rate of 10% but a market interest rate of 8% and paying interest semi-annually. On the acquisition day, the market interest rate was 12%. Required: 1) Calculate the separate-entity interest expense for the period from July 1- Dec 31, 2021. 2) Calculate the interest expense for consolidation for the period from July 1- Dec 31, 2021 3) Show your adjustment for consolidated interest expense for the period from July 1-Dec. 31, 2021