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Puzzle Corporation acquired 100 percent of the common stock of Solver Company by issuing 10,000 shares of $10 par common stock with a market value
Puzzle Corporation acquired 100 percent of the common stock of Solver Company by issuing 10,000 shares of $10 par common stock with a market value of $60 per share. Summarized balance sheet data for the two companies immediately preceding the acquisition are as follows:
Puzzle Corporation | Solver Corporation | |||||||||||||
Book Value | Fair Value | Book Value | Fair Value | |||||||||||
Total Assets | $ | 1,200,000 | $ | 1,500,000 | $ | 900,000 | $ | 1,300,000 | ||||||
Total Liabilities | $ | 800,000 | $ | 700,000 | $ | 600,000 | $ | 750,000 | ||||||
Total Stockholders Equity | 400,000 | 300,000 | ||||||||||||
$ | 1,200,000 | $ | 900,000 | |||||||||||
Required: Determine the dollar amounts to be presented in the consolidated balance sheet for (1) total assets, (2) total liabilities, and (3) total stockholders' equity.
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