On january 1 20x6 climber corporation acquired 90 percent

Assignment Help Accounting Basics

Reference no: EM13581842

On January 1, 20X6, Climber Corporation acquired 90 percent of Wisden Corporation for $180,000 cash. Wisden reported net income of $30,000 and dividends of $10,000 for 20X6, 20X7, and 20X8. On January 1, 20X6, Wisden reported common stock outstanding of $100,000 and retained earnings of $60,000, and the fair value of the noncontrolling interest was $20,000. It held land with a book value of $30,000 and a market value of $35,000 and equipment with a book value of $50,000 and a market value of $60,000 at the date of combination. The remainder of the differential at acquisition was attributable to an increase in the value of patents, which had a remaining useful life of five years. All depreciable assets held by Wisden at the date of acquisition had a remaining economic life of five years. Climber uses the equity method in accounting for its investment in Wisden. Based on the preceding information, the increase in the fair value of patents held by Wisden is?

Reference no: EM13581842

Questions Cloud

The school boards two main alternatives are as follows 1 : the board of education for the central catskill school district is considering the acquisition of several minibuses for

Identify and discuss two distinct industries where the : environmental policy and politicsidentify and discuss two distinct industries where the environmental externalities of

Arthur company is considering investing in an annuity : arthur company is considering investing in an annuity contract that will return 26400 annually at the end of each year

Hanna railroad co is about to issue 277000 of 9-year bonds : hanna railroad co. is about to issue 277000 of 9-year bonds paying a 12 interest rate with interest payable

On january 1 20x6 climber corporation acquired 90 percent : on january 1 20x6 climber corporation acquired 90 percent of wisden corporation for 180000 cash. wisden reported net

If the owner of kint wants the estimate to be within one : question a survey is being conducted by kint univsion tv to find out how much time maquila company executives spend

Finishing touches has two classes of stock authorized 8 10 : finishing touches has two classes of stock authorized 8 10 par preferred and 1 par value common. the following

Reid shaw company produces one product a putter called : reid shaw company produces one product a putter called go-putter. shaw uses a standard cost system and determines that

What are the principal benefits for operating a landfill : a.what are the principal benefits for operating a landfill that acts as a bioreactor and what waste characteristics

User Account

All Pages