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Pizza Corporation purchased 1 0 0 percent of the common stock of Slice Corporation on January 1 , 2 0 X 2 , by issuing
Pizza Corporation purchased percent of the common stock of Slice Corporation on January X by issuing shares of its $ par value common stock. The market price of Pizzas shares at the date of issue was $ Slice reported net assets with a book value of $ on that date. The amount paid in excess of the book value of Slices net assets was attributed to the increased value of patents held by Slice with a remaining useful life of years. Slice reported net income of $ paid dividends of $ in X reported a net loss of $ and paid dividends of $ in X
Required:
Assuming that Pizza Corporation uses the equity method in accounting for its investment in Slice Corporation, prepare all journal entries for Pizza for X and X
Record the purchase of Slice Corporation.
Record the dividend from Slice Corporation for X
Record the equitymethod income or loss for X
Record the amortization of the differential value for X
Record the dividend from Slice Corporation for X
Record the equitymethod income or loss for X
Record the amortization of the differential value for X
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