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Summer Company holds assets with a fair value of $119.000 and a book value of $83,000 and liabilities with a book value and fair value
Summer Company holds assets with a fair value of $119.000 and a book value of $83,000 and liabilities with a book value and fair value of $27,000. Required: Compute the following amounts if Parade Corporation acquires 70 percent ownership of Summer: a. What amount did Parade pay for the shares if no goodwill and no gain on a bargain purchase are reported? Answer is complete but not entirely correct. Acquisition price $ 86,100 X b. What amount did Parade pay for the shares if the fair value of the noncontrolling interest at acquisition is $39,000 and goodwill of $38,000 is reported? Answer is complete but not entirely correct. Acquisition price $ 36,900 c. What balance will be assigned to the noncontrolling interest in the consolidated balance sheet if Parade pays $84,700 to acquire its ownership and goodwill of $29.000 is reported? X Answer is complete but not entirely correct. Balance assigned to noncontrolling interest 5 53 700 X
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