Grand champion inc purchased americas sweethearts

Assignment Help Accounting Basics

Reference no: EM13592295

Grand Champion, Inc., purchased America's Sweethearts Corporation on January 1, 2013. At the time, America's Sweethearts had $750,000 of identifiable assets and $525,000 of liabilities. Grand Champion, Inc., paid $900,000 for America's Sweethearts Corporation.

Assume that three years later the fair value of America's Sweethearts is $720,000. Of this fair value, $350,000 is attributable to identifiable assets and liabilities. Assume that America's Sweethearts is a reporting unit of Grand Champion. At the end of 2014, America's Sweethearts has a fair value of $720,000 and a book value of $850,000, which includes any goodwill recorded. Of this fair value, $350,000 is attributable to identifiable assets and liabilities.

1. Calculate the impairment loss (if any). If there is no impairment loss, leave the entry box blank.

2. Record the appropriate journal entry.

Reference no: EM13592295

Questions Cloud

One force of 605 lb acts at an angle of 824 degrees above : two upward forces are acting on a bolt. one force of 60.5 lb acts at an angle of 82.4 degrees above the horizontal and

Prepare journal entries for the june transactions a for : reynolds corp is a manufacturing company of kayaks.nbspnbspnbspnbspnbsp on june 1 2011 the companys ledger contains the

Monte and allie each own 50 of raider corporation an s : monte and allie each own 50 of raider corporation an s corporation. both individuals actively participate in raiders

The arm of a car windshield wiper is 1275 in long and its : the arm of a car windshield wiper is 12.75 in long and its attached at the middle of a 15.00 in blade. assume that the

Grand champion inc purchased americas sweethearts : grand champion inc. purchased americas sweethearts corporation on january 1 2013. at the time americas sweethearts had

A wrecking ball is dropped its velocity at the bottom of : a wrecking ball is dropped. its velocity at the bottom of its swing is vradic2gh where g is the acceleration due to

Logan corporation issued 800000 of 8 bonds on october 1 : logan corporation issued 800000 of 8 bonds on october 1 2006 due on october 1 2011. the interest is to be paid twice a

Compute the annual depreciation charges over the machines : on january 1 2012 a machine was purchased for 197100. the machine has an estimated salvage value of 13140 and an

Miriam ramos has saved 10000 towards a down payment on a : miriam ramos has saved 10000 towards a down payment on a new house. she wants to have a total of 45000 and plans to buy

User Account

All Pages