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
tamaranim1 [39]
3 years ago
8

On July 1, 20X9, Link Corporation paid $340,000 for all of Tinsel Company's outstanding common stock. On that date, the costs an

d fair values of Tinsel's recorded assets and liabilities were as follows: Cost Fair Value Cash and Receivables $50,000 $50,000 Inventory 120,000 125,000 Buildings and Equipment (net) 200,000 240,000 Liabilities (100,000) (100,000) Net assets $270,000 $315,000 Based on the preceding information, the differential reflected in a consolidation worksheet to prepare a consolidated balance sheet immediately after the business combination is:
Business
1 answer:
likoan [24]3 years ago
6 0

Answer:

Goodwill = 25,000

Explanation:

Goodwill is an intangible asset, is the differential reflected in a consolidated balance sheet immediately after the business combination between the purchase price of a company and the fair market value of identifiable assets and liabilities. Goodwill is recorded when the purchase price is higher than the sum of the fair value of all identifiable tangible and intangible assets purchased in the acquisition and the liabilities assumed in the process.

In this case:

Goodwill = Purchse Price - Net assets fair value

Goodwill = 340,000 - 315,000

Goodwill = 25,000

The difference between the book value and fair value of the acquired company are adjustments to the amount presented in the consolidated balance sheet.

You might be interested in
Marvin Corporation has the following information reported on the balance sheet as of December 31, 2017 Common Stock, $10 par val
SCORPION-xisa [38]

Answer:

  • How many shares of common stock are outstanding?

C. 3,000

Explanation:

Treasury stock, are those that the company repurchase from the market and keep it in the company, in this case the company keep the shares in the accounting and the shares could be reissued in the future.

The company issued 9,000 shares, it is reflected in the Common Stock account,  $90.000 / $10 = 9,000.

Then in the Treasury Stock account are registered the shares that the company repurchases from the market, these are, 6,000 shares.

Finally the total Common Shares outstanding are 3,000.

3 0
3 years ago
From 1948 to 2003 the United States experienced an average real GDP growth rate of 3.5 percent and Guatemala had an average real
Luda [366]

Answer:

No, we can’t say

Explanation:

In this question, we are asked to decide if we can say that Guatemala’s standard of living grew more than that of the US’ standard of living between the years 1993 and 2003 given the pointers in the question.

We cannot say that this is correct because of the following reasons;

As observed from the question, the US growth rate was calculated between the years 1948-2003, which is indicative of a 55 year span. Now, comparing this with that of Guatemala, we can see that the span here is just 10 years I.e from 1993 to 2003.

Also, we were not provided with the population growth rate in both countries and this makes it difficult to judge which of the two countries have a better growth in terms of standard of living

5 0
3 years ago
Read 2 more answers
How can companies increase return on common stockholders’ equity without increasing revenue?
Pani-rosa [81]
D) By reducing expenses you increase margins which means there is more money available for stockholders
4 0
2 years ago
What are stocks? Sorry it’s so simple but I was hoping I could get a good answer.
bazaltina [42]
Stocks are securities that represent ownership in the one company you decide to invest in.For companies its a way to make money to invest in other projects yet for investors its a way to earn money and outpace inflation over time.
Hope that answers
5 0
3 years ago
You have taken over as the new manager of a department. The employees are interested in doing their work well and have potential
vazorg [7]

Based on the scenario, the group is definitely still in the Oriented stage of team development.

Orientation stage of team development is also called the Forming Stage because idea or policy are just getting introduced to the new or current employees.

The Orientation stage also entails the introduction of the current employees to new technologies, procedures and policies.

Therefore, the group described in the question is still in the orientation stage of team development.

Read more about orientation stage:

<em>brainly.com/question/14831726</em>

8 0
2 years ago
Other questions:
  • Singal Inc. is preparing its cash budget. It expects to have sales of $30,000 in January, $35,000 in February, and $20,000 in Ma
    9·2 answers
  • Choose the best answer:
    7·1 answer
  • Testing conclusions review the typical benefits of physical capital described in section 1. give specific examples of how the fi
    14·1 answer
  • Kyle, a single taxpayer, worked as a free-lance software engineer for the first three months of 2017. During that time, he earne
    12·1 answer
  • On November 1, 2021, Green Valley Farm entered into a contract to buy a $150,000 harvester from JohnDeere. The contract required
    5·1 answer
  • Beau went shopping at ABC Carpet. He saw some carpet he liked but could not make up his mind. The manager at ABC Carpet wrote do
    7·1 answer
  • The principal purpose of a statement of cash flows is to measure the profitability of a business that maintains its accounting r
    10·2 answers
  • Research indicates that when it comes to the diversification-performance relationship, the highest economic performance occurs w
    11·1 answer
  • Divisibility" refers to the fact that money is divided into denominations for ease in completing transactions
    5·1 answer
  • Please help I have no clue how to do accounting
    14·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!