Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. accounting
  3. on december 31, year 5, darrell inc. purchased 100

On December 31, Year 5, Darrell Inc. purchased 100% of the outstanding shares of Kindersley...

70.2K

Verified Solution

Question

Accounting

On December 31, Year 5, Darrell Inc. purchased 100% of the outstanding shares of Kindersley Company for $7,500 cash. Three different values for Kindersley's balance sheet accounts on the date of acquisition were as follows: Carrying Amount Tax Base Fair Value Monetary assets $ 1,600 $ 1,600 $ 1,600 Inventory 3,660 3,660 3,160 Patent (net) 4,500 3,500 5,300 $ 9,760 $ 8,760 $ 10,060 Monetary liabilities $ 3,000 $ 3,000 $ 3,000 Future income taxes payable 400 Ordinary shares 1,000 Retained earnings 5,360 $ 9,760 All differences

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Zin AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students

Q

1a. How is biological sample prepared for the insertion into the transmission electron microscope for single...

Biology
Q

1a) True or false: A heavier weight lifter will have a more impressive absolute value for...

Medical Sciences
Q

Why are investors risk-averse? How can investors deal with different degrees of risk? Justify your answer.

Finance
Q

article study include the sample size and the level of confidence used to create the...

Statistics
Q

Consider the following X 4 lim X 8 X 8 If x is chosen to...

Calculus
Q

The graph shows an idealized description of the temperature in F for approximately the last...

Calculus
Q

Internal Control Questionnaire for Book Buy Back Cash Fund. Taylor, a CPA has been engaged...

Accounting
Q

Problem IV - PARTNER ADMISSION Pepo Partnership allows partner Pedro to sell her...

Accounting
Q

Exercise 13-18 Cash dividends, treasury stock, and statement of retained earnings LO C3, P2, P3...

Accounting
Q

Sydney Retailing (buyer) and Troy Wholesalers (seller) enter into the following transactions May 11 -5ydney...

Accounting
Q

Assignment #4 The purpose of this assignment is to solidify your understanding on the capital...

Finance
Q

Souza Technology issued $4,000,000 of 6% bonds on August 1, 2019 in order to raise...

Accounting