Reference no: EM132463269

Question 1: Blair Company acquires all of the assets and liabilities of Tomlinson Corporation, in a transaction reported as a merger. How are the assets and liabilities of Blair and Tomlinson reported?

a. Tomlinson's assets and liabilities remain at book value, and Blair's assets and liabilities are reported at fair value at the date of acquisition

b. Blair's assets and liabilities remain at book value, and Tomlinson's assets and liabilities are reported at fair value at the date of acquisition

c. The assets and liabilities of both Blair and Tomlinson are reported at fair value at the date of acquisition

d. The assets and liabilities of both Blair and Tomlinson are reported at book value at the date of acquisition