PRINTER VERSION BACK NEXT Question 11 Gise Corporation purchased 35,000 common shares of Wagner Corporation for $52 per share on January 2, 2020. During 2020, Wagner Corporation had 140,000 common shares outstanding, paid cash dividends of $88,000, and reported net income of $320,000. Under the equity method, Gise Corporation should report revenue from investments for 2020 in the amount of Snil. PRINTER VERSION BACK Question 27 Marin Golf and Sports was formed on July 1, 2020, when Steve Powerdriver purchased Old Master Golf Corporation, Old Master provides video golf instruction at kiosks in shopping malls. Powerdriver's plan is to make the instruction business part of his golf equipment and accessory stores. Powerdriver pald $690,000 cash for Old Master. At the time of purchase, Old Master's statement of financial position reported assets of $600,000 and liabilities of $100,000 (shareholders' equity was $500,000). The fair value of Old Master's identifiable assets was estimated to be $730,000. Included in the identifiable assets was the Old Master trade name with a fair value of $10,000 and a copyright on some instructional books with fair value of $18,000. The trade name had a remaining legal life of five years and can be renewed indefinitely at nominal cost. The copyright had a remaining Me of 40 years. Assume that Marin Golf and Sports is a private company reporting under ASPE. Prepare the intangible assets section of Marin Golf and Sports at December 31, 2020. (Round answers to decimal places, e.g. 5,275.) Marin Golf and Sports INTANGIBLES AND GOODWILL SECTION OF PRINTER VERSION BACK NEXT Question 11 Gise Corporation purchased 35,000 common shares of Wagner Corporation for $52 per share on January 2, 2020. During 2020, Wagner Corporation had 140,000 common shares outstanding, paid cash dividends of $88,000, and reported net income of $320,000. Under the equity method, Gise Corporation should report revenue from investments for 2020 in the amount of Snil. PRINTER VERSION BACK Question 27 Marin Golf and Sports was formed on July 1, 2020, when Steve Powerdriver purchased Old Master Golf Corporation, Old Master provides video golf instruction at kiosks in shopping malls. Powerdriver's plan is to make the instruction business part of his golf equipment and accessory stores. Powerdriver pald $690,000 cash for Old Master. At the time of purchase, Old Master's statement of financial position reported assets of $600,000 and liabilities of $100,000 (shareholders' equity was $500,000). The fair value of Old Master's identifiable assets was estimated to be $730,000. Included in the identifiable assets was the Old Master trade name with a fair value of $10,000 and a copyright on some instructional books with fair value of $18,000. The trade name had a remaining legal life of five years and can be renewed indefinitely at nominal cost. The copyright had a remaining Me of 40 years. Assume that Marin Golf and Sports is a private company reporting under ASPE. Prepare the intangible assets section of Marin Golf and Sports at December 31, 2020. (Round answers to decimal places, e.g. 5,275.) Marin Golf and Sports INTANGIBLES AND GOODWILL SECTION OF
