How much did Pie pay to purchase its shares of Slice

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Question - Pie Corporation acquired 80 percent of Slice Company's common stock on December 31, 20X5, at underlying book value. The book values and fair values of Slice's assets and liabilities were equal, and the fair value of the non-controlling interest was equal to 20 percent of the total book value of Slice. Slice provided the following trial balance data at December 31, 20X5:

 

Debit

Credit

Cash

$28,200

 

Accounts Receivable

65,350

 

Inventory

89,400

 

Buildings and Equipment (net)

205,000

 

Cost of Goods Sold

106,000

 

Depreciation Expense

23,850

 

Other Operating Expenses

30,540

 

Dividends Declared

14,800

 

Accounts Payable

 

$32,840

Notes Payable

 

119,000

Common Stock

 

88,800

Retained Earnings

 

131,500

Sales

 

191,000

Total

$563,140

$563,140

Required: How much did Pie pay to purchase its shares of Slice?

Reference no: EM132276670

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