Question 10

On July 1, 2017, Bridgeport Corporation purchased the net assets of Soorya Company by paying $448,000 cash and issuing a $46,700 note payable to Soorya Company. At July 1, 2017, the statement of financial position of Soorya Company was as follows:

Cash		$74,400		Accounts payable		$317,800
Accounts receivable		117,000		Soorya, capital		236,000
Inventory		97,200		Total		$553,800
Land		49,000
Buildings (net)		74,400
Equipment (net)		93,800
Trademarks (net)		48,000
Total		$553,800

The recorded amounts all approximate current values except for land (worth $60,000), inventory (worth $137,100), and trademarks (worthless). The receivables are shown net of an allowance for doubtful accounts of $11,000. The amounts for buildings, equipment, and trademarks are shown net of accumulated amortization of $23,000, $28,000, and $49,000, respectively.

* Question 10

Prepare the July 1, 2017 entry for Bridgeport Corporation to record the purchase. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No entry" for the account titles and enter 0 for the amounts.)

Date	Account Titles and Explanation	Debit	Credit
July 1, 2017	Accounts PayableAccounts ReceivableAccumulated Impairment Losses - CopyrightsAccumulated Impairment Losses - GoodwillAccumulated Impairment Losses - LicencesAccumulated Impairment Losses - TrademarkAllowance for Doubtful AccountsBuildingsCashEquipmentGainGoodwillInventoryLandLoss on Impairment - GoodwillLoss on Impairment - CopyrightsLoss on Impairment - LicencesLoss on Impairment - TrademarkNotes PayableNotes ReceivableNo Entry
	Accounts PayableAccounts ReceivableAccumulated Impairment Losses - CopyrightsAccumulated Impairment Losses - GoodwillAccumulated Impairment Losses - LicencesAccumulated Impairment Losses - TrademarkAllowance for Doubtful AccountsBuildingsCashEquipmentGainGoodwillInventoryLandLoss on Impairment - GoodwillLoss on Impairment - CopyrightsLoss on Impairment - LicencesLoss on Impairment - TrademarkNotes PayableNotes ReceivableNo Entry
	Accounts PayableAccounts ReceivableAccumulated Impairment Losses - CopyrightsAccumulated Impairment Losses - GoodwillAccumulated Impairment Losses - LicencesAccumulated Impairment Losses - TrademarkAllowance for Doubtful AccountsBuildingsCashEquipmentGainGoodwillInventoryLandLoss on Impairment - GoodwillLoss on Impairment - CopyrightsLoss on Impairment - LicencesLoss on Impairment - TrademarkNotes PayableNotes ReceivableNo Entry
	Accounts PayableAccounts ReceivableAccumulated Impairment Losses - CopyrightsAccumulated Impairment Losses - GoodwillAccumulated Impairment Losses - LicencesAccumulated Impairment Losses - TrademarkAllowance for Doubtful AccountsBuildingsCashEquipmentGainGoodwillInventoryLandLoss on Impairment - GoodwillLoss on Impairment - CopyrightsLoss on Impairment - LicencesLoss on Impairment - TrademarkNotes PayableNotes ReceivableNo Entry
	Accounts PayableAccounts ReceivableAccumulated Impairment Losses - CopyrightsAccumulated Impairment Losses - GoodwillAccumulated Impairment Losses - LicencesAccumulated Impairment Losses - TrademarkAllowance for Doubtful AccountsBuildingsCashEquipmentGainGoodwillInventoryLandLoss on Impairment - GoodwillLoss on Impairment - CopyrightsLoss on Impairment - LicencesLoss on Impairment - TrademarkNotes PayableNotes ReceivableNo Entry
	Accounts PayableAccounts ReceivableAccumulated Impairment Losses - CopyrightsAccumulated Impairment Losses - GoodwillAccumulated Impairment Losses - LicencesAccumulated Impairment Losses - TrademarkAllowance for Doubtful AccountsBuildingsCashEquipmentGainGoodwillInventoryLandLoss on Impairment - GoodwillLoss on Impairment - CopyrightsLoss on Impairment - LicencesLoss on Impairment - TrademarkNotes PayableNotes ReceivableNo Entry
	Accounts PayableAccounts ReceivableAccumulated Impairment Losses - CopyrightsAccumulated Impairment Losses - GoodwillAccumulated Impairment Losses - LicencesAccumulated Impairment Losses - TrademarkAllowance for Doubtful AccountsBuildingsCashEquipmentGainGoodwillInventoryLandLoss on Impairment - GoodwillLoss on Impairment - CopyrightsLoss on Impairment - LicencesLoss on Impairment - TrademarkNotes PayableNotes ReceivableNo Entry
	Accounts PayableAccounts ReceivableAccumulated Impairment Losses - CopyrightsAccumulated Impairment Losses - GoodwillAccumulated Impairment Losses - LicencesAccumulated Impairment Losses - TrademarkAllowance for Doubtful AccountsBuildingsCashEquipmentGainGoodwillInventoryLandLoss on Impairment - GoodwillLoss on Impairment - CopyrightsLoss on Impairment - LicencesLoss on Impairment - TrademarkNotes PayableNotes ReceivableNo Entry
	Accounts PayableAccounts ReceivableAccumulated Impairment Losses - CopyrightsAccumulated Impairment Losses - GoodwillAccumulated Impairment Losses - LicencesAccumulated Impairment Losses - TrademarkAllowance for Doubtful AccountsBuildingsCashEquipmentGainGoodwillInventoryLandLoss on Impairment - GoodwillLoss on Impairment - CopyrightsLoss on Impairment - LicencesLoss on Impairment - TrademarkNotes PayableNotes ReceivableNo Entry
	Accounts PayableAccounts ReceivableAccumulated Impairment Losses - CopyrightsAccumulated Impairment Losses - GoodwillAccumulated Impairment Losses - LicencesAccumulated Impairment Losses - TrademarkAllowance for Doubtful AccountsBuildingsCashEquipmentGainGoodwillInventoryLandLoss on Impairment - GoodwillLoss on Impairment - CopyrightsLoss on Impairment - LicencesLoss on Impairment - TrademarkNotes PayableNotes ReceivableNo Entry
	Accounts PayableAccounts ReceivableAccumulated Impairment Losses - CopyrightsAccumulated Impairment Losses - GoodwillAccumulated Impairment Losses - LicencesAccumulated Impairment Losses - TrademarkAllowance for Doubtful AccountsBuildingsCashEquipmentGainGoodwillInventoryLandLoss on Impairment - GoodwillLoss on Impairment - CopyrightsLoss on Impairment - LicencesLoss on Impairment - TrademarkNotes PayableNotes ReceivableNo Entry