Answer:
Consider the following calculations. The answer is $135,000.
Explanation:
Book value of inventory of acquiring company before combination = $90,000
Fair value of acquired inventory = $45,000
Amount of total inventory immediately after business combination = $90,000 + $45,000 = $135,000
Hence, answer is $135,000
BANKS HAVE REDUCED INTRESTS RATES IS THE AWNSER
Answer:
A wholly owned subsidiary is appropriate when the firm wants
100 percent of the profits generated in a foreign market.
Explanation:
100 percent ownership means 100 percent taking of the whole profits or losses generated by a company's subsidiary. It is only when a subsidiary is not wholly owned that the profits or losses generated by the subsidiary can be shared. When a company can afford it, they can take 100 percent ownership so that they can control the company wholly without any interference because ownership dictates control.
