What is the fair value of account receivables of subsidiary

Assignment Help Accounting Basics
Reference no: EM132737688

In 1/1/2020, company A purchased 80% of company B capital shares. The result of purchase resulted on parent-subsidiary relationship. Account receivables presented in the consolidated statement of financial position at the date of acquisition as follow:

Item                                  Parent A             Subsidiary B                 Consolidated

Account Receivables        60,000                     30,000                      82,000

Problem 1: Take into consideration that there is a debt for parent on subsidiary of 4000$. What is the fair value of account receivables of subsidiary B?

Reference no: EM132737688

Questions Cloud

What is the value of retained earnings of company a : Assume that company A has retained earnings of 36,000, Under acquisition method, what is the value of retained earnings of company A directly after acquisition?
What is the fair value of inventory in company b : What is the fair value of inventory in company B? In 1/1/2019 company A consolidated with company B, and this result on company C. book values of inventory
Do you think that civil rights movements : Do you think that the Civil Rights Movements of the 1960s would have had the same impact if they had been lead by Malcolm X instead of Martin Luther King?
Create powerpoint presentation of progress : You are going to become photojournalists. Go into your community with a camera and gather evidence to create a PowerPoint presentation of progress
What is the fair value of account receivables of subsidiary : Take into consideration that there is a debt for parent on subsidiary of 4000$. What is the fair value of account receivables of subsidiary B?
What amount will Sorel record as the lease liability : The present value factor of an annuity due for three periods at 4% is 2.88609. What amount will Sorel record as the lease liability at the inception of lease
What is the investment cost amount : What is the investment cost amount in 1/1/2018? In 1/1/2018 company A acquired 90% of company B. and in 31/12/2018 the investment cost presented in statement
Does arrowhead have an ethical obligation to disclose : Does Arrowhead have an ethical obligation to disclose proprietary information, such as the amount of groundwater extracted and the water levels
Methods for helping the maintenance supervisor : Discuss some possible methods for helping the maintenance supervisor understand why he or she may need to change his or her prioritization system.

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