Question 10

Answer is not complete. Complete this question by entering your answers in the tabs below. Calculate the Investment in Sysinger in Allan's pre-consolidation 2021 statements. On January 1, 2020, Allan Company bought a 15 percent Interest In Sysinger Company. The acquisition price of $191,500 reflected an assessment that all of Sysinger's accounts were falrly valued within the company's accounting records. During 2020, Sysinger reported net Income of $103,800 and declared cash dividends of $31,100. Allan possessed the ability to significantly Influence Sysinger's operations and, therefore, accounted for this investment using the equlty method. On January 1, 2021, Allan acquired an additional 80 percent Interest In Sysinger and provided the following falr-value assessments of Sysinger's ownership components: Also, as of January 1, 2021, Allan assessed a $403,000 value to an unrecorded customer contract recently negotlated by Syslnger. The customer contract is antlcipated to have a remaining life of four years. Sysinger's other assets and liabilitles were judged to have falr values equal to their book values. Allan elects to continue applying the equity method to this Investment for Internal reporting purposes. At December 31, 2021, the following financlal Information is avallable for consolidation: a. How should Allan allocate Sysinger's total acqulsition-date falr value (January 1, 2021) to the assets acquired and liabilitles assumed for consolidation purposes? b. Calculate the following as they would appear In Allan's pre-consolidation 2021 statements. - Equity in earnings of Sysinger - Galn on revaluation of Investment in Sysinger to falr value - Investment in Sysinger c. Prepare a worksheet to consolidate the financlal statements of these two companles as of December 31, 2021. At year-end, there were no intra-entity recelvables or payables. Answer is not complete. Complete this question by entering your answers in the tabs below. Calculate the Equity in earnings of Sysinger in Allan's pre-consolidation 2021 statements. Prepare a worksheet to consolidate the financial statements of these two companies as of December 31, 2021. At year-end, there were no intra-entity receivables or payables. (For accounts where multiple consolidation entries are required, combine all debit entries into one amount and enter this amount in the debit column of the worksheet. Similarly, combine all credit entries into one amount and enter this amount in the credit column of the worksheet. Input all amounts as positive values.) Answer is not complete. Complete this question by entering your answers in the tabs below. Calculate the Gain on revaluation of Investment in Sysinger to fair value in Allan's pre-consolidation 2021 statements. Answer is not complete. Complete this question by entering your answers in the tabs below. Calculate the Investment in Sysinger in Allan's pre-consolidation 2021 statements. On January 1, 2020, Allan Company bought a 15 percent Interest In Sysinger Company. The acquisition price of $191,500 reflected an assessment that all of Sysinger's accounts were falrly valued within the company's accounting records. During 2020, Sysinger reported net Income of $103,800 and declared cash dividends of $31,100. Allan possessed the ability to significantly Influence Sysinger's operations and, therefore, accounted for this investment using the equlty method. On January 1, 2021, Allan acquired an additional 80 percent Interest In Sysinger and provided the following falr-value assessments of Sysinger's ownership components: Also, as of January 1, 2021, Allan assessed a $403,000 value to an unrecorded customer contract recently negotlated by Syslnger. The customer contract is antlcipated to have a remaining life of four years. Sysinger's other assets and liabilitles were judged to have falr values equal to their book values. Allan elects to continue applying the equity method to this Investment for Internal reporting purposes. At December 31, 2021, the following financlal Information is avallable for consolidation: a. How should Allan allocate Sysinger's total acqulsition-date falr value (January 1, 2021) to the assets acquired and liabilitles assumed for consolidation purposes? b. Calculate the following as they would appear In Allan's pre-consolidation 2021 statements. - Equity in earnings of Sysinger - Galn on revaluation of Investment in Sysinger to falr value - Investment in Sysinger c. Prepare a worksheet to consolidate the financlal statements of these two companles as of December 31, 2021. At year-end, there were no intra-entity recelvables or payables. Answer is not complete. Complete this question by entering your answers in the tabs below. Calculate the Equity in earnings of Sysinger in Allan's pre-consolidation 2021 statements. Prepare a worksheet to consolidate the financial statements of these two companies as of December 31, 2021. At year-end, there were no intra-entity receivables or payables. (For accounts where multiple consolidation entries are required, combine all debit entries into one amount and enter this amount in the debit column of the worksheet. Similarly, combine all credit entries into one amount and enter this amount in the credit column of the worksheet. Input all amounts as positive values.) Answer is not complete. Complete this question by entering your answers in the tabs below. Calculate the Gain on revaluation of Investment in Sysinger to fair value in Allan's pre-consolidation 2021 statements