Reference no: EM133071848
Question - On January 1, 2020, Blue Spruce Corporation, a public company following IFRS, acquired 15,600 of the 52,000 outstanding common shares of Noah Corp. for $ 23 per share. Noah's statement of financial position reported the following information at the date of the acquisition:
Assets not subject to depreciation $285,400
Assets subject to depreciation 867,800
Liabilities 146,800
Additional information:
1. On the acquisition date, the fair value is the same as the carrying amount for the assets that are not subject to depreciation and for the liabilities.
2. On the acquisition date, the fair value of the assets that are subject to depreciation is $949,800. These assets had a remaining useful life of eight years at that time.
3. Noah reported 2020 net income of $82,000 and paid dividends of $3,900 in December 2020.
4. Noah's shares are not actively traded on the stock exchange, but Blue Spruce has determined that they have a fair value of $21 per share on December 31, 2020.
Required - Prepare the journal entries for Blue Spruce Corporation for 2020, assuming that Blue Spruce cannot exercise significant influence over Noah and accounts for the investment at FV-OCI.
Prepare the journal entries for Blue Spruce Corporation for 2020, assuming that Blue Spruce can exercise significant influence over Noah's operations.
|
What is the expected return of intel? stock
: Suppose Intel stock has a beta of 0.83?, whereas Boeing stock has a beta of 1.14. If the? risk-free interest rate is 5.1% and the expected return of the market
|
|
Cost of retained earnings using the capm method
: Levine Ross Inc. (LRI) has the following targeted capital structure: debt=25%, preferred stock=15% and common stock=60%. LRI's tax rate is 40%, and investors ex
|
|
What is the basic earnings per share
: Additional information are as follows: Ordinary share capital, par 10 - 1,000,000; 7% Preference share capital, What is the basic earnings per share
|
|
Solve the amount you will have on retirement
: You are planning for retirement over the next 20 years and intend to invest $400 a month in an equity index fund and $200 a month in a bond index fund. The expe
|
|
Prepare the journal entries for blue spruce corporation
: Prepare the journal entries for Blue Spruce Corporation for 2020, assuming that Blue Spruce can exercise significant influence over Noah's operations
|
|
What is cost of external equity
: MAX plans to issue common stock to the public at $80. The last paid dividend was $3 per share (D0=$3). Dividend growth rate is 5%. If floatation cost of the sto
|
|
Completing per square foot effective rent calculation
: -A landlord is desperate to land a 75,000 SF tenant and thus provides the following aggressive net rent offer to a tenant: 10 months free, 12 months at $10.00SF
|
|
MBA404 Consumer Behaviour and Marketing Psychology
: MBA404 Consumer Behaviour and Marketing Psychology Assignment Help and Solution, Kaplan Business School - Assessment Writing Service
|
|
What is the portfolio weight of stock a
: Stock A has an expected return of 17.8 percent while Stock B is expected to return 8.4 percent. What is the portfolio weight of Stock A?
|