Reference no: EM131774611
Problem - The following book and fair values were available for Westmont Company as of March 1.
Book Value Fair Value
Inventory $ 630,000 $ 600,000
Land 750,000 990,000
Buildings 1,700,000 2,000,000
Customer relationships 0 800,000
Accounts payable (80,000) (80,000)
Common stock (2,000,000)
Additional paid-in capital (500,000)
Retained earnings 1/1 (360,000)
Revenues (420,000)
Expenses 280,000
Arturo Company pays $4,000,000 cash and issues 20,000 shares of its $2 par value common stock (fair value of $50 per share) for all of Westmont's common stock in a merger, after which Westmont will cease to exist as a separate entity. Stock issue costs amount to $25,000 and Arturo pays $42,000 for legal fees to complete the transaction.
Prepare Arturo's journal entry to record its acquisition of Westmont.
|
Retailer contribution format income statement
: The accountant of a local retailer prepared the following income statement for this month:
|
|
What is the holding period return for a year
: The price of a stock at the beginning is $40.00 and ends at $45.00. If the stock paid a dividend of $3.00, what is the holding period return for a year
|
|
How do fiscal policy decision made by the government
: Answer all of the bulleted question related to the esay question on the the goverment budget. It's ok to use the outside source for the question.
|
|
Computation of equivalent units-weighted-average method
: Clonex Labs, Inc., uses a process costing system. The following data are available for one department for October:
|
|
Prepare arturo journal entry to record its acquisition
: Stock issue costs amount to $25,000 and Arturo pays $42,000 for legal fees, Prepare Arturo's journal entry to record its acquisition of Westmont
|
|
Compare the efficiency of the standard newton method
: Compare the efficiency of the standard Newton method with this new iteration in order to find the zero of multiplicity m = 3 of the polynomial
|
|
Experience or textbook examples
: Using examples from your experience or textbook examples, describe the process managerial accountants use to make recommendations for two of the three.
|
|
Calculate answer to the nearest one-tenth of given rate
: The ABC Corporation has an investment opportunity that costs $75,000 and 5 years later pays a lump-sum amount of $103,000, what percent interest rate per.
|
|
Discuss county bank agrees to lend the pharaoh company
: Moss County Bank agrees to lend the Pharaoh Company $575000 on January 1. Pharaoh Company signs a $575000, 6%, 9-month note
|