Question 26 Huey Company acpuires 100\% of the stock of Solar Corporation on january 1, 2019, for $2,400,000 cash. As of that date Solar had the following account balances: In 2019 and 2020, Solar had net incame of $250,000 and $240,000, respectively. In addition, Solar paid dividends af $16,000 in bath years. Irventory is assumed to be sold in 2019. Assume straight line amortization/ depreciation for assets and bonds payable. Compute the AAP amartization for 2020. Select one: A. 50 B. $50,000 C. 540,000 D. $90,000 Question 22 Nut yet anwwernd Marked eut of 5.00 Martindale Company, a 100% owned subsidiary of Weisman Corporation, sells irmentory to Weisman at a 20% profit on selling price. The following data are avalable pertaining to inter.company purchases by Weisman: Martindale's profit numbers were $125,000,$142,000 and $265,000 for 2020,2021 , and 2022 , respectively. Weisman received dividends fram Martindale of $25,000 for 2020 and 2021 , and $30,000 for 2022 Assume the acquisition was on january 1, 2020 and that Weisman uses the cost methad to account for its inwestment in Martindale. Compute the amount of beginning of year [AD]] adjustment necessary for consalidation for the year ended December 31,2021. Select dine: A $124,200 B. $125,000 C. $99,200 D. $100,000 Question 19 Lucky's aqquires Waterview, Inc., by issuing 40,000 shares of $1 par common stock with a market price of $25 per share on the acquisition date and paing $125,000 cash. The assets and liabilities on Waterview's balance sheet were valued at fair values exrept equipment that was undervalued by $300,000. There was also an unrecorded patent valued at $40,000, as well as an unrecorded trademark valued at $75,000. In addition, the agreement provided for additional consideration, valued at $60,000, if certain earnings targets were met. The pre-acquisition balance sheets for the two companies at acquisition date are presented below. At what amount is the investment recorded on Lucky's boaks? Select dine: A. $1,125,000 B. $1,185,000 C. $1,100,000 D. $1,000,000