453 Assignment 6 2023W2

Problem 10-24 (Static) (LO 10-1, 10-3, 10-4) On December 18, 2020, Stephanie Corporation acquired 100 percent of a Swiss company for 4.0 million Swiss francs (CHF), which is indicative of book and fair value. At the acquisition date, the exchange rate was $1.00 = CHF 1. On December 18, 2020, the book and fair values of the subsidiary's assets and liabilities were as follows: Cash Inventory Property, plant, and equipment Notes payable CHF 800,000 1,300,000 4,000,000 (2,100,000) Stephanie prepares consolidated financial statements on December 31, 2020. By that date, the Swiss franc has appreciated to $1.10 = CHF 1. Because of the year-end holidays, no transactions took place prior to consolidation. a. Determine the translation adjustment to be reported on Stephanie's December 31, 2020, consolidated balance sheet, assuming that the Swiss franc is the Swiss subsidiary's functional currency. What is the economic relevance of this translation adjustment? b. Determine the remeasurement gain…

Question 1: Chapter 7 On 1 October 20X8 Pacemaker Co acquired 30 million of Vardine Co's 100 million shares in exchange for 75 million of its own shares. The fair value of Pacemaker Co's shares at the date of this share exchange was $1.60 each. Vardine Co's profit is subject to seasonal variation. Its profit for the year ended 31 March 20X9 was $100 million. $20 million of this profit was made from 1 April 20X8 to 30 September 20X8. Pacemaker Co has one subsidiary and no other investments apart from Vardine Co. What amount will be shown as 'investment in associate' in the consolidated statement of financial position of Pacemaker Co as at 31 March 20X9?

Question 10 Dover Company owns 90% of the capital stock of a foreign subsidiary located in Italy. Dover's accountant has just translated the accounts of the foreign subsidiary and determined that a debit translation adjustment of $80,000 exists. If Dover uses the fully adjusted equity method for its investment, what entry should Dover record in order to recognize the translation adjustment?     Debit-Investment in Italian Subsidiary 72,000   Credit-Other Comprehensive Income—Translation Adjustment   72,000     Debit-Other Comprehensive Income—Translation Adjustment 80,000   Credit-Investment in Italian Subsidiary   80,000     Debit-Other Comprehensive Income—Translation Adjustment 72,000   Credit-Investment in Italian Subsidiary   72,000     No entry required

Sd Subject: acounting

PROBLEM 35At the beginning of 2018, Esterlina Corporation purchased 40% of the ordinary shares outstanding of Mary Grace Incorporated for P15,000,000 when the net assets of Mary Grace Incorporated amounted to P30,000,000. At the acquisition date, the carrying amounts of the identifiable assets and liabilities of Mary Grace Incorporated were equal to their fair value, except for the following: a. Equipment whose fair value was P7,000,000 greater than its carrying amount.b. Inventory whose fair value was P2,500,000 greater than its carrying amount. The equipment has a remaining life of 4 years, and the inventory was all sold during 2013. Mary Grace Incorporated has two classes of shares: Ordinary shares (par value, P100), 300,000 shares outstanding, 15% cumulative preference shares (par value, P50), 100,000 shares outstanding. The investee reported the following net income (inclusive of enter-company transactions) and payment of cash dividend:                                      2018…

PROBLEM VII On July 1, 2019, Eya Company acquired 700,000 shares of Agas Company at a price of P13 per share. Eya estimated that the price paid include P1.50 premium in order to gain control over Agas. On this date, the fair values of Agas' identifiable assets and liabilities and their carrying values are given below: Book Value P2,000,000 9,000,000 P3,000,000 5,000,000 3,000,000 Fair Value P2,000,000 11,000,000 Current assets Property, plant and equipment Liabilities Ordinary shares, P5 par Retained earnings 1. Determine the amount of goodwill.

On December 18, 2020, Stephanie Corporation acquired 100 percent of a Swiss company for 4.002 million Swiss francs (CHF), which is indicative of book and fair value. At the acquisition date, the exchange rate was $1.00 = CHF 1. On December 18, 2020, the book and fair values of the subsidiary’s assets and liabilities were as follows:     Cash CHF 802,000   Inventory   1,302,000   Property, plant, and equipment   4,002,000   Notes payable   (2,104,000 )     Stephanie prepares consolidated financial statements on December 31, 2020. By that date, the Swiss franc has appreciated to $1.10 = CHF 1. Because of the year-end holidays, no transactions took place prior to consolidation.   Determine the translation adjustment to be reported on Stephanie’s December 31, 2020, consolidated balance sheet, assuming that the Swiss franc is the Swiss subsidiary’s functional currency. What is the economic relevance of this translation adjustment? Determine the remeasurement gain or loss…

advanced accounting 405:    A U.S. company owns an 80% interest in a company located on Mars. Martian currency is called the Martian Credit. During the year the parent company sold inventory that had cost $24,900 to the subsidiary on account for $29.100 when theexchange rate was $0.5192. The subsidiary still held one-half of the inventory and had not paid the parent company for the purchase at the end of the fiscal period. The unsettled account is denominated in dollars. The exchange rate at the fiscal year-end was $04994.   Compute the amounts that would be reported for the inventory and accounts payable in the subsidiary’'s translated balance sheet.The entity’s functional currency is the Martian Credit. (Round answers to O decimal places, e.g. 5,125.) Inventory $ Accounts Payable $  please show calculations so I can learn!!!!

E3.5 Acquisition analysis, including fair value adjustment for plant and equipment (Section 3.6.2) On 1 October 20XO, EF Ltd acquired all the issued ordinary shares of GH Ltd. The terms of the acquisition agreement specified that EF Ltd must pay the existing shareholders of GH Ltd $1.5million immediately and a further $1.5million on 30 September 20X1. The incremental cost of short-term finance to EF Ltd is 10% p.a. At acquisition date, the issued capital and reserves of GH Ltd were as follows: Issued capital 1 200000 Retained eamings 1/10/20X0 1400000 At 1 October 20xO, the plant and equipment of GH Ltd had a carrying amount that was $150000 less than its fair value. The company income tax rate is 30%. REQUIRED (a) Prepare the general journal entries for the accounting records of EF Ltd to record: (i) the investment in GH Ltd on 1 October 20X0 (ii) the cash payment of the $1500 000 on 30 September 20X1.

pls answer and provide solution and explanation

View Policies Current Attempt in Progress AU.S. company owns an 80% interest in a company located on Mars. Martian currency is called the Martian Credit. During the year the parent company sold inventory that had cost $23,700 to the subsidiary on account for $29,400 when the exchange rate was $0.5192. The subsidiary still held one-half of the inventory and had not paid the parent company for the purchase at the end of the fiscal period. The unsettled account is denominated in dollars. The exchange rate at the fiscal year-end was $0.4994. (c1) Assuming that the transaction had been denominated in 46,148 Martian Credits rather than dollars, compute the transaction gain or loss that would be reported by the parent company. (Round answers to O decimal places, e.g. 5,125.) Transaction $

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QUESTION 21 On January 1, 20X9, Pirate Corporation acquired 80 percent of Sea-Gull Company's common stock for $160,000 cash. The fair value of the noncontrolling interest at that date was determined to be $40,000. Data from the balance sheets of the two companies included the following amounts as of the date of acquisition:    Pirate Corp. Sea-Gull Corp. Cash   $ 60,000       $ 20,000     Accounts Receivable     80,000         30,000     Inventory     90,000         40,000     Land     100,000         40,000     Buildings and Equipment     200,000         150,000     Less: Accumulated Depreciation     (80,000 )       (50,000 )   Investment in Sea-Gull Corp.     160,000               Total Assets   $ 610,000       $ 230,000                           Accounts Payable   $ 110,000       $ 30,000     Bonds Payable     95,000         40,000     Common Stock     200,000         40,000     Retained Earnings     205,000         120,000     Total Liabilities…

QUESTION 15 Ocean Ltd is the parent entity to the wholly owned subsidiaries of River Ltd, Creek Ltd, and Puddle Ltd. During the year ended 30 June 2022 the following transactions occurred within Ocean Ltd group. The perpetual inventory system has been adopted by all entities in the Ocean Ltd group and the tax rate is 30% for all accounting periods. On 01 July 2021 Ocean Ltd sold an item of equipment to Creek Ltd for $750,000 cash. The original cost of the equipment was $950,000. Ocean Ltd adopted an accounting policy whereby equipment was being depreciated on a straight line basis over its useful life of 8 years. The carrying amount of the equipment in Ocean Ltd financial statements at the date of sale was $520,000. Subsequent to the transfer, Creek Ltd depreciated the equipment on a straight line basis over its remaining useful life of 4 years. Required: Fill in the missing amount for the following accounts that will appear in the consolidated adjusting journal entries for the group…

QUESTION 20 On January 1, 20X9, Pirate Corporation acquired 80 percent of Sea-Gull Company's common stock for $160,000 cash. The fair value of the noncontrolling interest at that date was determined to be $40,000. Data from the balance sheets of the two companies included the following amounts as of the date of acquisition:    Pirate Corp. Sea-Gull Corp. Cash   $ 60,000       $ 20,000     Accounts Receivable     80,000         30,000     Inventory     90,000         40,000     Land     100,000         40,000     Buildings and Equipment     200,000         150,000     Less: Accumulated Depreciation     (80,000 )       (50,000 )   Investment in Sea-Gull Corp.     160,000               Total Assets   $ 610,000       $ 230,000                           Accounts Payable   $ 110,000       $ 30,000     Bonds Payable     95,000         40,000     Common Stock     200,000         40,000     Retained Earnings     205,000         120,000     Total Liabilities…

QUESTION 17 On January 1, 20X9, Pirate Corporation acquired 80 percent of Sea-Gull Company's common stock for $160,000 cash. The fair value of the noncontrolling interest at that date was determined to be $40,000. Data from the balance sheets of the two companies included the following amounts as of the date of acquisition:    Pirate Corp. Sea-Gull Corp. Cash   $ 60,000       $ 20,000     Accounts Receivable     80,000         30,000     Inventory     90,000         40,000     Land     100,000         40,000     Buildings and Equipment     200,000         150,000     Less: Accumulated Depreciation     (80,000 )       (50,000 )   Investment in Sea-Gull Corp.     160,000               Total Assets   $ 610,000       $ 230,000                           Accounts Payable   $ 110,000       $ 30,000     Bonds Payable     95,000         40,000     Common Stock     200,000         40,000     Retained Earnings     205,000         120,000     Total Liabilities…

QUESTION 18 On January 1, 20X9, Pirate Corporation acquired 80 percent of Sea-Gull Company's common stock for $160,000 cash. The fair value of the noncontrolling interest at that date was determined to be $40,000. Data from the balance sheets of the two companies included the following amounts as of the date of acquisition:    Pirate Corp. Sea-Gull Corp. Cash   $ 60,000       $ 20,000     Accounts Receivable     80,000         30,000     Inventory     90,000         40,000     Land     100,000         40,000     Buildings and Equipment     200,000         150,000     Less: Accumulated Depreciation     (80,000 )       (50,000 )   Investment in Sea-Gull Corp.     160,000               Total Assets   $ 610,000       $ 230,000                           Accounts Payable   $ 110,000       $ 30,000     Bonds Payable     95,000         40,000     Common Stock     200,000         40,000     Retained Earnings     205,000         120,000     Total Liabilities…

PROBLEM VIII On July 1, 2018, Good Cop Company acquired 100% of Bad Cop Company for a consideration transferred of P80 million and pays P500,000 business combination expenses. 2/5 is attributable to share issue costs, 2/5 direct costs and 1/5 for indirect costs. At the acquisition date, the carrying amount of Bad Company's net assets was P50 million with provisional fair value of P60 million. An additional valuation received on May 1, 2019 increased this provisional valuation to P65 million, and on July 30, 2019 this fair value was finalized at P70 million. 1. What amount should Good Cop Company present for goodwill in its statement of financial position on December 31, 2019?

QUESTION 19 On January 1, 20X9, Pirate Corporation acquired 80 percent of Sea-Gull Company's common stock for $160,000 cash. The fair value of the noncontrolling interest at that date was determined to be $40,000. Data from the balance sheets of the two companies included the following amounts as of the date of acquisition:    Pirate Corp. Sea-Gull Corp. Cash   $ 60,000       $ 20,000     Accounts Receivable     80,000         30,000     Inventory     90,000         40,000     Land     100,000         40,000     Buildings and Equipment     200,000         150,000     Less: Accumulated Depreciation     (80,000 )       (50,000 )   Investment in Sea-Gull Corp.     160,000               Total Assets   $ 610,000       $ 230,000                           Accounts Payable   $ 110,000       $ 30,000     Bonds Payable     95,000         40,000     Common Stock     200,000         40,000     Retained Earnings     205,000         120,000     Total Liabilities…

Subject: accounting

On December 18, 2020, Stephanie Corporation acquired 100 percent of a Swiss company for 4.022 million Swiss francs (CHF), which is indicative of book and fair value. At the acquisition date, the exchange rate was $1.00 = CHF 1. On December 18, 2020, the book and fair values of the subsidiary’s assets and liabilities were as follows:     Cash CHF 822,000   Inventory   1,322,000   Property, plant, and equipment   4,022,000   Notes payable   (2,144,000 )     Stephanie prepares consolidated financial statements on December 31, 2020. By that date, the Swiss franc has appreciated to $1.10 = CHF 1. Because of the year-end holidays, no transactions took place prior to consolidation.   Determine the translation adjustment to be reported on Stephanie’s December 31, 2020, consolidated balance sheet, assuming that the Swiss franc is the Swiss subsidiary’s functional currency. What is the economic relevance of this translation adjustment? Determine the remeasurement gain or loss…

On December 18, 2020, Stephanie Corporation acquired 100 percent of a Swiss company for 4.006 million Swiss francs (CHF), which is indicative of book and fair value. At the acquisition date, the exchange rate was $1.00 = CHF 1. On December 18, 2020, the book and fair values of the subsidiary's assets and liabilities were as follows: Cash CHF Inventory Property, plant, and equipment Notes payable 806,000 1,306,000 4,006,000 (2,112,000) Stephanie prepares consolidated financial statements on December 31, 2020. By that date, the Swiss franc has appreciated to $1.10 = CHF 1. Because of the year-end holidays, no transactions took place prior to consolidation. a. Determine the translation adjustment to be reported on Stephanie's December 31, 2020, consolidated balance sheet, assuming that the Swiss franc is the Swiss subsidiary's functional currency. What is the economic relevance of this translation adjustment? b. Determine the remeasurement gain or loss to be reported in Stephanie's 2020…