Road corporation acquired all of conger corporation

Assignment Help Accounting Basics

Reference no: EM131025135

a. Road Corporation acquired all of Conger Corporation's voting shares on January 1, 20X2, for $480,000. At that time Conger reported common stock outstanding of $81,000 and retained earnings of $147,000. The book values of Conger's assets and liabilities approximated fair values, except for land, which had a book value of $81,000 and a fair value of $101,000, and buildings, which had a book value of $239,000 and a fair value of $412,000. Land and buildings are the only noncurrent assets that Conger holds

Compute the amount of goodwill at the date of acquisition
Record the basic consolidation entry.
Record the excess value (differential) reclassification entry.

Reference no: EM131025135

Questions Cloud

Avoid unnecessary points please : In 150 words, briefly discuss what you understand by the term business. Avoid unnecessary points please.

What is the chemical equation for the overall reaction : If experiments show that during the decomposition of N2O, NO2 does not accumulate in measurable quantities, does this rule out the proposed mechanism? If you think not, suggest what might be going on.

Creditors with its current creditors : Is there a section of the Corporations Act 2001 that relates to directors having to disclose dealings with additional creditors with its current creditors? if so, which section?

What will happen to nominal output : Ancient Kingdom is a closed economy with gold as currency. Recent explorations have caused an increase in the quantity of gold in Ancient Kingdom. According to the quantity theory of money, what will happen to nominal output if the preferred rat..

Road corporation acquired all of conger corporation : Road Corporation acquired all of Conger Corporation's voting shares on January 1, 20X2, for $480,000. At that time Conger reported common stock outstanding of $81,000 and retained earnings of $147,000.

An electrical contractor for a number of years : A qualified electrician, has been employed by an electrical contractor for a number of years and enjoys the work. He is now considering the possibility of starting out

Serve as protection of the secured party''s interest : The perfection of an interest is supposed to serve as protection of the secured party's interest in collateral from other creditors. However, sometimes conflicts arise between creditors who claim interest in the same collateral. A conflict may arise ..

Show that the two reactions can be summed to give : Show that the two reactions can be summed to give the overall oxidation of SO2 by O2 to give SO3. Why do we consider NO2 a catalyst and not an intermediate in this reaction?

Chartof was employed by the first merchant bank : Chartof was employed by the First Merchant Bank in its International Financial Institutions Department from 1997-2003, when Chartof's position was eliminated because of internal reorganization. Chartof, using a forged memo to the bank's security depa..

User Account

All Pages