1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Mariana [72]
3 years ago
10

Assume that Bullen issued 12,000 shares of common stock with a $5 par value and a $47 fair value for all of the outstanding shar

es of Vicker. What will be the consolidated Additional Paid-In Capital and Retained Earnings (January 1, 2018 balances) as a result of this acquisition transaction?a. $524,000 and $420,000.b. $60,000 and $250,000.c. $524,000 and $250,000.d. $60,000 and $490,000.e. $380,000 and $250,000.

Business
2 answers:
Murrr4er [49]3 years ago
5 0

Answer:

The question is missing the details in the attached.

The correct option is C, additional paid-in capital of $524000 and retained earnings of $250000

Explanation:

Bullen additional paid-in capital before business combination was $20000

Upon issuing new stocks, the additional paid-in capital will increase by the below:

Fair value-face value *number of shares issued

($47-$5)*12000=$504000

The new additional paid-in capital =$20000+$504000

                                                          =$524000

This is just share transaction and does impact retained earnings in any way,hence retained earnings stay the same at $250000

                                                         

bogdanovich [222]3 years ago
3 0

Answer:

c. $524,000 and $250,000

Explanation:

See the attached picture for detailed explanation.

You might be interested in
The economy is in a recession and the government wants to increase output. If the multiplier equals 3 and the government increas
sashaice [31]

Answer:

The answer is 750

Explanation:

When government increases its spending, this increase in spending leads to increases in income for households which cumulatively increase the national income, this effect is known as multiplier effect.

Government has increased its spending by 250 while multiplier effect is 3.

Therefore, output will increase by 750(250 x 3)

3 0
3 years ago
Deadweight losses occur when the quantity of an output produced is:
PilotLPTM [1.2K]
Deadweight losses occur when the quantity of an output produced is: ... Less than or greater than the competitive equilibrium quantity. Such that the marginal benefit of the output is just equal to the marginal cost.
3 0
3 years ago
In a finance lease:
Maslowich

Answer:

A) the lessee records an asset and a liability for the present value of lease payments.

Explanation:

In a finance lease, the lessee business must estimate the present value of its obligations under the lease contract (using the lease's interest rate as the discount rate) and record it in the balance sheet as:

  • a debit entry under the fixed asset account
  • a credit entry under the capital lease liability account
7 0
3 years ago
In the buying​ center, which role has responsibility to execute the​ purchase? A. Gatekeeper B. Initiator C. Influencer D. Buyer
svetoff [14.1K]

Answer:

D) Buyer

Explanation:

The buyer is responsible for developing the technical specifications of the product that is going to be purchased, inviting potential vendors, and will also be the person in charge of actually executing the purchase. The buyer is the person that has the actual authority and is responsible for carrying out the purchase.

3 0
3 years ago
What is small business development
makvit [3.9K]

Answer:

Explanation:

Small Business Development Centers (SBDCs) provide business-related assistance and knowledge to help entrepreneurs start, run, and grow their businesses.

5 0
2 years ago
Other questions:
  • Advantages of the method of least squares over the high-low method include all of the following except:
    13·1 answer
  • considering synonymthe web 2.0 is not a new and improved version of the internet. which of the following alternate names most ac
    5·1 answer
  • Suppose a monopolist produces two different products. If the marginal cost of producing one is lower than the marginal cost of p
    12·1 answer
  • Valet Corporation began operations in 2018. An analysis of Valet's debt securities portfolio acquired in 2018 shows the followin
    10·1 answer
  • Governor Smith of Georgia is presented with the following data: currently the state derives a total of $400 million of benefits
    13·1 answer
  • What's microeconomy​
    14·1 answer
  • The aftertax cost of debt:
    12·1 answer
  • Which best describes which careers would work in offices? O Marketing Information Management and Research, Distribution and Logi
    15·2 answers
  • Suppose that the firm you manage faces the following costs:
    8·1 answer
  • Why the economy sees business cycle fluctuations rather than slow, smooth growth is a central issue of ______.
    15·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!