A wholly owned shubidiary by transferring assets

Assignment Help Accounting Basics

Reference no: EM13499929

Billiken company created blues company as a wholly owned shubidiary by transferring assets and liabilities to blues in exchange for its common stock. blues recorded the following entry at the time the assets and liabilities were received:

cash 3000
accountings receivable 16,000
inventory 27,000
land 9,000
buildings 70,000
equipment 60,000
accounts payable 14,000
Accumulated depreciation-building 21,000
accumulated depreciation-equipment 12,000
common stock 40,000
additional paid in capital 98,000

required
a. what was billiken's book value of the total assets transferred to blues?
b. what amount did billiken report as an investment in blues after the transfer?
c. how many shares of $5 par value common stock didi blues issues?
d. what effect did the transfer have on the total assets reported by billiken?
e what impact did the transfer have on the amount that the consolidated entity reported as shares outstanding?

Reference no: EM13499929

Questions Cloud

Net cash provided by operating activities : The information in the table is from the statement of cash flows for a company at four different points in time (A, B, C, and D). Negative values are presented in parentheses. which ones are DECLINE, MATURITY, GROWTH or INTRODUCTORY?

Obtain the current in the coil : A 200-turn rectangular coil having dimensions of 3.0 cm by 5.0 cm placed in a uniform magnetic field of magnitude 0.90T. Find the current in the coil if the maximum torque exerted on it by the magnetic field is 0.15 N.m

Explain an element with seven electrons in the outer orbit : what is an element with seven electrons in the outer orbit called: metal, halogen, metalloid, noble gas, none of the above

Estimate the thickness of the oil slick : A transparent oil with index of refraction 1.29 spills on the surface of water (index of refraction 1.33), determine the thickness of the oil slick

A wholly owned shubidiary by transferring assets : Billiken company created blues company as a wholly owned shubidiary by transferring assets and liabilities to blues in exchange for its common stock

What is the freezing point of ethylene glycol : A solution of ethylene glycol and water has a boiling point of 109.8 degrees celcius. What is the freezing point. (Kf H2o=1.86 degrees celcius/m; Kb H20=0.52 degrees celcius/m)

Analyze major forces in the task environment : Analyze major forces in the task environment of a retail clothing store and devise a program that will help managers and employees to better understand and respond to their stores task environment?

What is the wavelength of the visible light : soap bubble (n = 1.40) having a wall thickness of 130 nm is floating in air. What is the wavelength of the visible light that is most strongly reflected

Explain decreasing efficiency of space in the structure : How do you rank crystal lattice structures in order of decreasing efficiency of space in the structure

User Account

All Pages