Already have an account? Get multiple benefits of using own account!
Login in your account..!
Remember me
Don't have an account? Create your account in less than a minutes,
Forgot password? how can I recover my password now!
Enter right registered email to receive password!
Question - Penguin, Inc. acquires 100% of the outstanding shares of Cornflake Corp. for $2,250,000 and accounts for the transaction using the purchase method. Cornflake's balance sheet at the acquisition date is as follows:
Cornflake, Corp. Balance Sheet Acquisition Date
Historical Cost
Current Market Value
Assets
Current Assets
$900,000
Depreciable Assets less Accumulated Depreciation
$875,000
$1,250,000
Goodwill
Total Assets
$1,775,000
Liabilities and Equities
Liabilities
$1,100,000
Deferred Income Tax Liability
$125,000
Shareholders' Equity
$550,000
Total Liabilities and Equities
A. Based on the information concerning Cornflake Corp. what is the market value of the company's shareholders' equity at the acquisition date?
B. Based on the information concerning Cornflake Corp. what is the value of the goodwill related to the acquisition?
C. Based on the information concerning Cornflake Corp. by what amount would Penguin increase depreciable assets when it consolidates Cornflake on the acquisition date?
Find What is the cost of marginal investment in accounts receivable under the proposed plan? What is the net result of increasing the cash discount?
The Orchard Division grows apples for a variable cost of $6 per bushel. What is the operating income of the Orchard Division
Now being used to produce the carburetors, what would be the financial advantage (disadvantage) of buying 19,000 carburetors from the outside supplier?
George Marcus, a recent college graduate, has been appointed by Taylor Corporation at a salary of $54,000 per year. In anticipation of his salary, George bought a $20,000 new ski boat and will pay for it at a rate of $425 per month
Year 2 equals $840, and Year 3 equals $900, the percentage to be assigned for Year 3 in a trend analysis, assuming that Year 1 is the base year, is
The company used 30,000 direct labor hours and actual total direct labor costs were $270,000. What is the direct labor efficiency? variance?
Zander Brick Co., Find What is the optimal product mix that will maximize profits for Zander? What is the optimal profit for Zander?
Calculate the fixed cost production volume variance for the year assuming that expected volume was used in setting the overhead rate
Which is not a potential advantage of variable costing relative to absorption costing? Net income calculated under variable costing is unaffected
Explain possible scenarios where providing an extended payment term can benefit the company. A company wants to extend the payment terms for customers
Zeffer Corporation is a producer of ice cream that it wholesales to grocery stores by the carton. What is Zeffer budgeted breakeven point for upcoming year
Use this information to calculate the amount of bond discount or premium that is amortized with each interest payment.
Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!
whatsapp: +1-415-670-9521
Phone: +1-415-670-9521
Email: [email protected]
All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd