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Please complete the balance sheet. Plexi Company purchased 85% of the outstanding common stock of Sesnor Company on January 1, 2009 for $5,700,000. NOTE: COST
Please complete the balance sheet.
Plexi Company purchased 85% of the outstanding common stock of Sesnor Company on January 1, 2009 for $5,700,000. NOTE: COST METHOD USED BY PARENT REAL Entry Debit credit Investment in Subsidiary Sesnor is 5,700,000 Jan. 1, 2009. Cash 5,700,000 The Sesnor Company balance sheet on 1/1/09 and 12/31/12 are as follows: Fair Value Cash R$ 120,000 s 260,000 R$ 120,000 350,000 350,000 450,000 Inventory s 1.2s, 000 S 950,000 1.275,000 S 3,200,000 3,450,000 S 3200,000 S Net Plant Assets Land 1,000,000 1.000,000 s 2,500,000 1.500,000 other Assets S 250.000 5,945,000 6,360,000 Liabilities 1,37s, 000 1.150 1.375,000 Accounts Payable other Liabilities S 500,000 s 325,000 S 750,000 S 250,000 1,875,000 1,475,000 Total Liabilities 100,000 100,000 Common Stock (Par$1) 900,000 900,000 3,070,000 3,885,000 Retained Earnings Total Equity 4,070,000 4,885,000 5,945,000 6,360,000Step by Step Solution
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