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West Company acquired 60 percent of Solar Company for $300, 000 when Solar's book value was $ 400, 000 . The newly comprised 40 percent
West Company acquired 60 percent of Solar Company for $300, 000 when Solar's book value was $ 400, 000 . The newly comprised 40 percent noncontrolling interest had an assessed fair value of $ 200, 000. Also at the acquisition date , Solar had a trademark ( with a 10 - year life ) that was undervalued in the financial records by $60, 000 . Also , patented technology ( with a 5 - year life ) was undervalued by $ 40, 000 . Two years later , the following figures are reported by these two companies ( stockholders' equity accounts have been omitted ) ."
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