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Prince Corporation acquired 100 percent of Sword Company on January 1, 20X7, for $196,000. The trial balances for the two companies on December 31, 20X7,
Prince Corporation acquired 100 percent of Sword Company on January 1, 20X7, for $196,000. The trial balances for the two companies on December 31, 20X7, included the following amounts: Sword Company Debit Credit $ 37,089 64,000 114,90 32,000 152, eee Item Cash Accounts Receivable Inventory Land Buildings and Equipment Investment in Sword Company Cost of Goods Sold Depreciation Expense Other Expenses Dividends Declared Accumulated Depreciation Accounts Payable Mortgages Payable Common Stock Retained Earnings Sales Income from Sword Company Prince Corporation Debit Credit 92,000 59,000 174,089 90,000 493,000 251,000 493,880 25,000 56,000 65,000 149. 65,000 197,000 282,000 332,000 696,000 77,000 $1.798.000 $1,798,000 256,690 15,000 56,000 22.000 S75,000 21,000 104,000 41,000 100,000 407,000 $748,000 $748,000
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