Amount record the investment

Assignment Help Accounting Basics
Reference no: EM13139649

Prior to being united in a business combination, Botkins INc. and Volkerson Corp. had the following stockholders equity figures:

Common STock ($1 par value): Botkin $220,000
Volkerson $54,000
APIC: Botkin $110,000 & Volkerson $25,000
Retained Earnings: Botkins $360,000 & Volkerson $130,000

Botkins issued 56,000 new shares of its common stock valued at $3.25 per share for all of the outstanding stock of Volkerson. Assume that Botkins acquired Volkerson on January 1, 2010. At what amount did Botkins record the investment in Volkerson?

Reference no: EM13139649

Questions Cloud

Approached by a robin hood : You have been approached by a Robin Hood, a client (law firm) who employs around 80 staff and as a result of a successful year, in recognising the efforts of staff is considering holding a luncheon (and will be for the entire afternoon on the Friday ..
What molecular motor facilitates the movement : If the epidermis is wounded (cut), epithelial cells must migrate out on the ECM of the dermis to cover the wounded area. Epithelial cells migrate through the use of transient focal adhesions.
Noble truths in buddhism and eightfold path : The relationship of the Four Noble truths to the Eightfold Path. This discussion is limited to explaining this relationship and does not go into detail on what the 8 aspect of the Path are.
What is the density of this compound : The compound ZnI4 is best described as anions in a face-centered cubic unit cell with the cations in the tetrahedral holes. What is the density of this compound?
Amount record the investment : Botkins issued 56,000 new shares of its common stock valued at $3.25 per share for all of the outstanding stock of Volkerson. Assume that Botkins acquired Volkerson on January 1, 2010. At what amount did Botkins record the investment in Volkerson?
What is a signal sequence : What is a signal sequence? What is a signal patch? Be sure to indicate the difference between the two signals.
Understanding of concept of reincarnation : Buddhism's explanation of karma and reincarnation without a soul. It shows how the effects of karma still continue regardless of whether or not there is a concept of the soul as understood in Hinduism.
What is the basal lamina : What is the name of the epithelial cells that make up the epidermis? -What is the cytoplasmic intermediate filament found in these epithelial cell junctions ? -What is the name of the junctions that links the intermediate filaments of the epitheli..
Important information about buddhism : Show the historical development of Buddhism into a religion and illustrating the rituals, traditions, and basic belief systems of two different types of Buddhism: Tibetan and Zen Buddhism

Reviews

Write a Review

Accounting Basics Questions & Answers

  Bankruptcy and financial distress

Which of the following industries is likely to have the lowest costs of financial distress? Which of the following industries likely to have the highest costs of financial distress?

  Compute trend percents for financial items

Compute trend percents for the following financial items, using 2007 as the base year.

  Basics of stockholders equity section

Construct the stockholders' equity section incorporating all the above information.

  Prepare the necessary entries to close the general fund

The City of Martinville had the following pre-closing account balances in its General Fund as of June 30, 2012. Debits and credits are not separated; each account had its "normal" balance.

  Calculate and journalize the foreign exchange

An error was discovered during 2007. Specifically, depreciation expense was understated in 2005 resulting in the need for a Prior Period Adjustment of $25,000 before taxes.

  Eight steps for accounting cycle

What are the eight steps in the accounting cycle and how do they affect the financial statements? What happens if one is missing?

  Security brokers in the design and distribution

The out-of-pocket expenses incurred by Security Brokers in the design and distribution of the issue were $300,000. What profit or loss would Security Brokers incur if the issue were sold to the public at an average price of:

  Details regarding journal entries

On November 19, 2007, Albatross Corporation purchased 30,000 shares of ABC Corporation stock for $480,000, and 10,000 shares of Milken Corporation stock for $250,000. In Microsoft Excel format, please prepare a journal with Albatross's entries for ..

  Amortization on interest payment dates

Without prejudice to your solution in part a, assume that the issue price was $884,000. Prepare the amortization table for 2008, assuming that amortization is recorded on interest payment dates.

  Attribute sampling plan-determining large expenditures

An auditor uses an attribute sampling plan to determine whether large expenditures are being properly approved. The auditor is willing to accept a 2% risk of assessing control risk too low, and has a tolerable rate of 5%.

  Assuming that put company uses the cost method

Put Company paid $220,000 for an 80% interest in Sel Company on July 1, 2011, when Sel Company had total equity of $110,000. Sel Company reported earnings of $10,000 for 2011 and declared dividends of $8,000 on November 1, 2011.

  Expected value of information

Jeffrey Mogul is a Hollywood film producer and he is currently evaluating a script by new screenwriter and director, Betty Jo Thurston. Jeffrey knows that the probability of a film by a new director being a success is about .10 and the probability..

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd