PBJ, Inc. acquired 100% of the outstanding common stock of BLT Corp. for $5,600,000. The purchase price included $400,000 to reimburse the former shareholders of BLT for legal fees incurred to complete the acquisition. The company also agreed to pay the seller an additional $2,000,000 if BLT generated $6,000,000 in net income during the first 3 years after the business combination. At the acquisition date, the fair value of the contingent consideration was $750,000.

For each of the acquisition items, enter the amount (Book Value or Fair Value) that should be reflected in the line item (Profit or Loss, OCI, Total Assets, or Total Liabilities) on PBJ's consolidated financial statements as of the acquisition date. Enter debit balances as positive values and credit balances as negative values. The appropriate dollar value (BV or FV) for each row should be entered into one blank at most. So, for each row, you will select the appropriate value (BV or FV) if any and enter it into one blank on the same row. Enter zero for each of the remaining blanks in that row. If an acquisition item is not included in any consolidated balance, enter zeros in every blank for that row.

Use commas as appropriate. Use whole numbers (i.e. no need for decimals). Do not use dollar signs. You may use parentheses or a negative sign before the number to indicate credit balances.

QUESTION 1 10 points Save Answer PBJ, Inc. acquired 100% of the outstanding common stock of BLT Corp. for $5,600,000. The purchase price included $400,000 to reimburse the former shareholders of BLT for legal fees incurred to complete the acquisition. The company also agreed to pay the seller an additional $2,000,000 if BLT generated $6,000,000 in net income during the first 3 years after the business combination. At the acquisition date, the fair value of the contingent consideration was $750,000 For each of the acquisition items, enter the amount (Book Value or Fair Value) that should be reflected in the line item (Profit or Loss, OCI, Total Assets, or Total Liabilities) on PBJ's consolidated financial statements as of the acquisition date. Enter debit balances as positive values and credit balances as negative values. The appropriate dollar value (BV or FV) for each row should be entered into one blank at most. So, for each row, you will select the appropriate value (BV or FV) if any and enter it into one blank on the same row. Enter zero for each of the remaining blanks in that row. If an acquisition item is not included in any consolidated balance, enter zeros in every blank for that row. Use commas as appropriate. Use whole numbers (i.e. no need for decimals). Do not use dollar signs. You may use parentheses or a negative sign before the number to indicate credit balances. Acquisition Item Book Value at Fair Value at Acquisition Date Acquisition Date Profit or Loss Other Comprehensive Income Total Assets, Excluding Goodwill Total Liabilities PP&E.net 4,000,000 0 400,000 0 In-process R&D Legal fees Noncompete agreement with former owners Bonds payable Estimated post-acquisition restructuring costs Contingent consideration 4,200,000 1,320,000 400.000 550,000 450,000 365.000 750,000 475,000 0 0 Enter the amount of goodwill that should be recorded as of the acquisition date as a positive number in the following blank: Click Save and Submit to save and submit. Click Save All Answers to save all answers. Save All Answers Save and Submit QUESTION 1 10 points Save Answer PBJ, Inc. acquired 100% of the outstanding common stock of BLT Corp. for $5,600,000. The purchase price included $400,000 to reimburse the former shareholders of BLT for legal fees incurred to complete the acquisition. The company also agreed to pay the seller an additional $2,000,000 if BLT generated $6,000,000 in net income during the first 3 years after the business combination. At the acquisition date, the fair value of the contingent consideration was $750,000 For each of the acquisition items, enter the amount (Book Value or Fair Value) that should be reflected in the line item (Profit or Loss, OCI, Total Assets, or Total Liabilities) on PBJ's consolidated financial statements as of the acquisition date. Enter debit balances as positive values and credit balances as negative values. The appropriate dollar value (BV or FV) for each row should be entered into one blank at most. So, for each row, you will select the appropriate value (BV or FV) if any and enter it into one blank on the same row. Enter zero for each of the remaining blanks in that row. If an acquisition item is not included in any consolidated balance, enter zeros in every blank for that row. Use commas as appropriate. Use whole numbers (i.e. no need for decimals). Do not use dollar signs. You may use parentheses or a negative sign before the number to indicate credit balances. Acquisition Item Book Value at Fair Value at Acquisition Date Acquisition Date Profit or Loss Other Comprehensive Income Total Assets, Excluding Goodwill Total Liabilities PP&E.net 4,000,000 0 400,000 0 In-process R&D Legal fees Noncompete agreement with former owners Bonds payable Estimated post-acquisition restructuring costs Contingent consideration 4,200,000 1,320,000 400.000 550,000 450,000 365.000 750,000 475,000 0 0 Enter the amount of goodwill that should be recorded as of the acquisition date as a positive number in the following blank: Click Save and Submit to save and submit. Click Save All Answers to save all answers. Save All Answers Save and Submit