Unconaolldated Quit! Imam: Pavement acquired 99 percent of the outstanding shares of Fios' voting common stock on January:r 1. 1999. At the acquisition daiae. Pavement paid $399,999, which was equal to 39 percent of the book value of net assets for Ftos. In addition, on the date of Pavemeht's acquisition, all identifiable net assets had book values equal to their fair values. Hos reported $199,999 of net income during 2994. Pavement's books reflect the full equity method of accounting for Hos. um: On January:r 2. 2994. Sigur sold equipment with an. original cost of $199,999 and a carrying value of $51999 to Pavement for $39,999. The equipment had a remaining life of three veers and was depreciated using the straight-line method by both companies