Determine fair value of consideration transferred

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Question: AYAW corporation issued 100,000 shares of 20 for common stock for all the outstanding shares of Subsidiary corporation in a business combination consummated as of July 2019. AYAW corporation common stock was selling at 30 per share at the time of combination. Out of pocket expenses are as follows:

Finder's Fee 50,000

Account's Fee (Advisory) 10,000

Legal Fees (Advisory) 20,000

Printing costs 5,000

SEC registration costs and fees 12,000

Determine the following:

1. Fair value of consideration transferred

2. Cost to issue and register

3. Share premium adjusted

Reference no: EM132738274

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