Provide all journal entries for venus company for the year

Assignment Help Accounting Basics
Reference no: EM132794440

Question - Venus Company acquired a 45% interest in the voting stock Zeus Company for $530,000. On January 1, 2009 when Zeus's stockholder's equity consisted of capital stock of $800,00 and retained earnings of $400,000. At the time of Venus investment, Zeus assets and liabilities were recorded at their fair values, except for inventories that were undervalued by $60,000 (subsequently sold COGS to be charged) and a building with a 10-year remaining useful life that was overvalued by $100,000. Zeus has income for 2009 of $ 260,000 and pays dividends of $80,000.

Required -

1) What is the amount of goodwill if any that Venus is paying?

2) Provide all journal entries for Venus Company for the year including the purchase of the investment on January 1, 2009 using Equity method.

3) What is the investment in Zeus account balance at December 31 on Venus books?

4) What is the amount of Venus share of Zeus net assets at December 31, 2009?

Reference no: EM132794440

Questions Cloud

Calculate the big door unlevered beta : Calculate the Big door's unlevered beta. Big door company has 10 million shares outstanding, which are currently trading for about $15 per share
What is the best stage for you to be in now : You have gone through stages of Piaget's cognitive development, in your professional beliefs and in your theological beliefs. Name and trace the development.
Explain the characteristics of effective team building : 1. Describe and explain the characteristics of effective team building 2. Describe the basic steps in Tuckman's group development process.
Leadership accountable for performance management : When an organization does not hold its leadership accountable for performance management, what impact does this have on the organization's ability to achieve it
Provide all journal entries for venus company for the year : Provide all journal entries for Venus Company for the year including the purchase of the investment on January 1, 2009 using Equity method
Explain where the casta system was present : Explain where the casta system was present (this could include info about other countries where the Spaniards imposed the casta system)
In what ways does medical technology drive healthcare cost : In what ways does medical technology drive healthcare cost? Do we overuse medical technology in the United States?
Why is the service layout a poor design : What elements could be improved (layout, décor, and so on) from the point of view of the customer. In other words, how could one improve the design?
Sales and marketing information systems : Q1) Why do managers organize their teams in terms of business processes instead of functional departments??????????

Reviews

Write a Review

Accounting Basics Questions & Answers

  How much control does fed have over this longer real rate

Hubbard argues that the Fed can control the Fed funds rate, but the interest rate that is important for the economy is a longer-term real rate of interest.   How much control does the Fed have over this longer real rate?

  Coures:- fundamental accounting principles

Coures:- Fundamental Accounting Principles: - Explain the goals and uses of special journals.

  Accounting problems

Accounting problems,  Draw a detailed timeline incorporating the dividends, calculate    the exact Payback Period  b)   the discounted Payback Period. the IRR,  the NPV, the Profitability Index.

  Write a report on internal controls

Write a report on Internal Controls

  Prepare the bank reconciliation for company

Prepare the bank reconciliation for company.

  Cost-benefit analysis

Create a cost-benefit analysis to evaluate the project

  Theory of interest

Theory of Interest: NPV, IRR, Nominal and Real, Amortization, Sinking Fund, TWRR, DWRR

  Liquidity and profitability

Distinguish between liquidity and profitability.

  What is the expected risk premium on the portfolio

Your Corp, Inc. has a corporate tax rate of 35%. Please calculate their after tax cost of debt expressed as a percentage. Your Corp, Inc. has several outstanding bond issues all of which require semiannual interest payments.

  Simple interest and compound interest

Simple Interest, Compound interest, discount rate, force of interest, AV, PV

  Capm and venture capital

CAPM and Venture Capital

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