VIEW Dr. Basie A FILE Major 2 ACC, 2010 122 copy door. Word HOME INSERT DESIGN PAGE LAYOUT REFERENCES MAILINGS REVIEW X Calibr (Body) -12 EESE A M BIU.MX, X' Styles Editing A. A Clipboard Font Paragraph Styles Paste Clipboas Question 1 120 marks) Project ht chmer December 31, 2012, trial balances for Pledge Company and its subsidiary Stom Company follow: Pledge Store Chand Marketable Securities $184.600 72.000 Receivables (net) 182,000 180.000 Inventory 21-4.000 212.000 Investment in Scom Company 478.400 Plant and Equipment (net) 309,000 301.000 Land 85.000 75,000 Con of Goods Sold 460.00 185.000 Operating Expenses 225.000 65.000 Dheidends Declared 10.000 30.000 Theory Stock (10,000 shares al cost) 20.000 To Debits $2.1 CDO $1.100.000 Accounts Payable S 195.000 79.000 Accrued Expres 31.000 18.000 Notes Payable 100.000 200.000 Common Stock. Si par value 00.000 100.000 Other Contbuted Capital 150.00 80,000 Red Earnings 1/1 550.000 320,000 Sales 190.000 $10.000 Epity in Subsidiary Income 74.400 Inter Inco 5.000 SURRO SINED omny burchased 77,000 shares of stom Company's.common stock on January 1, 2009 0.000. On that dat ons Company's stockholders' equity was follows Shanti wnload Bo-0002 sted 166 KB ACC317_683_Corporate Reporting VIEW De Basie... FILE HOME Paste Clipboa Clipboad Project Major 2 REVIEW INSERT DESIGN PAGE LAYOUT REFERENCES MAILINGS Calibri (Body) - 12 E...EE BIUM X, X Styles Editing 21 A.-A.A. AAR Font Paragraph Styles 214.000 212.000 Inventory Investment in Stom Company 178.100 900.000 301.000 Plant and Equipment et Land 85.000 75.000 460,000 Cost of Goods Sold 185.000 Operating Expenses 225.000 65,000 Dividends Declared 50.000 30.000 Trey Stock (10.000 shares at Cost 20.000 Total Debits $2.188,000 $1.110.000 Accounts Payable $ 96,000 $ 79.000 Ac Expenses 31 JOKI 18.000 Notes Payable 100.000 200,000 Common Stock. Si par value 300,000 100,000 Other Contributed Capital 150.000 80,000 Retained ning 550.000 20.000 850,000 $40,000 Equity in Subsidiary Income 74.100 -O Interest Income 6.000 3,000 Total Credits YISOHO STHLONDO Pledge Company purchased 72,000 shares of Stom Company's common stock on January 1, 2009, for $300,000. On that date. Stem Company's stockholdersequity was as follows: Common Stock, si parle Other Combitel puud S100.000 Hedwing 8,00 000 True Stock C,000 to Thul 20.000 SORTIR Other information 1. Hechables of Pledge Company include $55,000, 12 note receivable from Stom Company 2. Wat mounting to 56.600 has been accrued by each company on the note payable from Santo Medge Ston Company has not yet paid this interest Therence between book value and the value implied by the purchase price relaties daryland pts schmer Shatte wnload to-0002 selected 166 ACC 317_683_Corporate Reporting VIEW Dr. Basie A . Major 2 AC REVIEW HOME INSERT DESIGN PAGE LAYOUT REFERENCES MAILINGS * Calibri (Body) - 12 E.EE BIU abx x, x' Styles Editing 211 A.M.A.A. AAB Paragraph Font Styles ard 214,000 212.000 Inventory Investment in Stom Company 478,100 Plant and Equipment (net) 900.000 901,000 Land 85.000 75,000 Cost of Goods Sold 460,000 185,000 Operating Expenses 225.000 65,000 Dividends Declared 50.000 30.000 Treasury Stock (10,000 are al cost 20.000 Total Debits $2,188,000 $1,140,000 Accounts Payable $ 96,000 $ 79,000 Accried Expenses 31.0 18.000 Notes Payable 100.000 200,000 Common Stock. St par value 200.000 100.000 Other Contributed Capital 150,000 80,000 Retained Earnings. 1/1 550.000 320,000 Sales 880,000 $10,000 Equity in Subsidiary Income 74,400 Interest Income 6,600 3,000 Total Credits $2.188.000 $1.140,000 nts acl Sh wnlo: Pledge Company purchased 72,000 shares of Stom Company's common stock on January 1, 2009, for $300,000. On that date. Stom Company's stockholders' equity was as follows: Common Stock. Si par value $100.000 Other Contributed Capital SO.CO Retained Earning 160.000 Treasury Stock I0.000 shares al cos (20.00 Total S500.000 20-00 n selec Other information: 1. Receivables of Pledge Company include a $55,000, 12% note receivable from Stom Company Page 2. Interest amounting to $6,600 has been accrued by each company on the note payable from Stom to Pledge. Stom Company has not yet paid this interest. 3. The difference between book value and the value Implied by the purchase price relates to subsidiary land 14 WORDS INGSTED STATES VIEW Dr. Basie A FILE Major 2 ACC, 2010 122 copy door. Word HOME INSERT DESIGN PAGE LAYOUT REFERENCES MAILINGS REVIEW X Calibr (Body) -12 EESE A M BIU.MX, X' Styles Editing A. A Clipboard Font Paragraph Styles Paste Clipboas Question 1 120 marks) Project ht chmer December 31, 2012, trial balances for Pledge Company and its subsidiary Stom Company follow: Pledge Store Chand Marketable Securities $184.600 72.000 Receivables (net) 182,000 180.000 Inventory 21-4.000 212.000 Investment in Scom Company 478.400 Plant and Equipment (net) 309,000 301.000 Land 85.000 75,000 Con of Goods Sold 460.00 185.000 Operating Expenses 225.000 65.000 Dheidends Declared 10.000 30.000 Theory Stock (10,000 shares al cost) 20.000 To Debits $2.1 CDO $1.100.000 Accounts Payable S 195.000 79.000 Accrued Expres 31.000 18.000 Notes Payable 100.000 200.000 Common Stock. Si par value 00.000 100.000 Other Contbuted Capital 150.00 80,000 Red Earnings 1/1 550.000 320,000 Sales 190.000 $10.000 Epity in Subsidiary Income 74.400 Inter Inco 5.000 SURRO SINED omny burchased 77,000 shares of stom Company's.common stock on January 1, 2009 0.000. On that dat ons Company's stockholders' equity was follows Shanti wnload Bo-0002 sted 166 KB ACC317_683_Corporate Reporting VIEW De Basie... FILE HOME Paste Clipboa Clipboad Project Major 2 REVIEW INSERT DESIGN PAGE LAYOUT REFERENCES MAILINGS Calibri (Body) - 12 E...EE BIUM X, X Styles Editing 21 A.-A.A. AAR Font Paragraph Styles 214.000 212.000 Inventory Investment in Stom Company 178.100 900.000 301.000 Plant and Equipment et Land 85.000 75.000 460,000 Cost of Goods Sold 185.000 Operating Expenses 225.000 65,000 Dividends Declared 50.000 30.000 Trey Stock (10.000 shares at Cost 20.000 Total Debits $2.188,000 $1.110.000 Accounts Payable $ 96,000 $ 79.000 Ac Expenses 31 JOKI 18.000 Notes Payable 100.000 200,000 Common Stock. Si par value 300,000 100,000 Other Contributed Capital 150.000 80,000 Retained ning 550.000 20.000 850,000 $40,000 Equity in Subsidiary Income 74.100 -O Interest Income 6.000 3,000 Total Credits YISOHO STHLONDO Pledge Company purchased 72,000 shares of Stom Company's common stock on January 1, 2009, for $300,000. On that date. Stem Company's stockholdersequity was as follows: Common Stock, si parle Other Combitel puud S100.000 Hedwing 8,00 000 True Stock C,000 to Thul 20.000 SORTIR Other information 1. Hechables of Pledge Company include $55,000, 12 note receivable from Stom Company 2. Wat mounting to 56.600 has been accrued by each company on the note payable from Santo Medge Ston Company has not yet paid this interest Therence between book value and the value implied by the purchase price relaties daryland pts schmer Shatte wnload to-0002 selected 166 ACC 317_683_Corporate Reporting VIEW Dr. Basie A . Major 2 AC REVIEW HOME INSERT DESIGN PAGE LAYOUT REFERENCES MAILINGS * Calibri (Body) - 12 E.EE BIU abx x, x' Styles Editing 211 A.M.A.A. AAB Paragraph Font Styles ard 214,000 212.000 Inventory Investment in Stom Company 478,100 Plant and Equipment (net) 900.000 901,000 Land 85.000 75,000 Cost of Goods Sold 460,000 185,000 Operating Expenses 225.000 65,000 Dividends Declared 50.000 30.000 Treasury Stock (10,000 are al cost 20.000 Total Debits $2,188,000 $1,140,000 Accounts Payable $ 96,000 $ 79,000 Accried Expenses 31.0 18.000 Notes Payable 100.000 200,000 Common Stock. St par value 200.000 100.000 Other Contributed Capital 150,000 80,000 Retained Earnings. 1/1 550.000 320,000 Sales 880,000 $10,000 Equity in Subsidiary Income 74,400 Interest Income 6,600 3,000 Total Credits $2.188.000 $1.140,000 nts acl Sh wnlo: Pledge Company purchased 72,000 shares of Stom Company's common stock on January 1, 2009, for $300,000. On that date. Stom Company's stockholders' equity was as follows: Common Stock. Si par value $100.000 Other Contributed Capital SO.CO Retained Earning 160.000 Treasury Stock I0.000 shares al cos (20.00 Total S500.000 20-00 n selec Other information: 1. Receivables of Pledge Company include a $55,000, 12% note receivable from Stom Company Page 2. Interest amounting to $6,600 has been accrued by each company on the note payable from Stom to Pledge. Stom Company has not yet paid this interest. 3. The difference between book value and the value Implied by the purchase price relates to subsidiary land 14 WORDS INGSTED STATES