Consider again AT&T's purchase of DirectTV. The pre-merger balance sheets are shown in the table below, as is AT&T's balance sheet pro forma for the purchase of DirectTV. For this problem, assume: 1. The purchase was for $55,000 million in stock (no cash). 2. There was no change in the value of DirecTV's Cash, Other Tangible Assets, or Total Liabilities. 3. Intangible Assets were re-valued upward by $40,000 million to $40,680 million. This $40,000 million represents the value of internally developed patents not previously recorded in DirecTV's assets. Compute the remaining amounts A, B, C, D, and E in column 3 of the table. BS Item($ in millions) AT&T 6/30/2015 DirecTV 6/30/2015 АтаT Pro Forma Cash $17,290 $8,950 $26,240 Other Tangible Assets $153,490 $17,200 $170,690 Intangible Assets $77,360 $680 A Goodwill $73,840 $1,020 в Total Assets $321,980 $27,850 Total Liabilities $252,970 $11,500 Book Value of Net Assets $69,010 $16,350
Consider again AT&T's purchase of DirectTV. The pre-merger balance sheets are shown in the table below, as is AT&T's balance sheet pro forma for the purchase of DirectTV. For this problem, assume: 1. The purchase was for $55,000 million in stock (no cash). 2. There was no change in the value of DirecTV's Cash, Other Tangible Assets, or Total Liabilities. 3. Intangible Assets were re-valued upward by $40,000 million to $40,680 million. This $40,000 million represents the value of internally developed patents not previously recorded in DirecTV's assets. Compute the remaining amounts A, B, C, D, and E in column 3 of the table. BS Item($ in millions) AT&T 6/30/2015 DirecTV 6/30/2015 АтаT Pro Forma Cash $17,290 $8,950 $26,240 Other Tangible Assets $153,490 $17,200 $170,690 Intangible Assets $77,360 $680 A Goodwill $73,840 $1,020 в Total Assets $321,980 $27,850 Total Liabilities $252,970 $11,500 Book Value of Net Assets $69,010 $16,350
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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
Transcribed Image Text:Consider again AT&T's purchase of DirectTV. The pre-merger balance sheets are shown in the table below, as is AT&T's balance sheet pro forma for the
purchase of DirectTV. For this problem, assume:
1. The purchase was for $55,000 million in stock (no cash).
2. There was no change in the value of DirecTV's Cash, Other Tangible Assets, or Total Liabilities.
3. Intangible Assets were re-valued upward by $40,000 million to $40,680 million. This $40,000 million represents the value of internally developed
patents not previously recorded in DirecTV's assets.
Compute the remaining amounts A, B, C, D, and E in column 3 of the table.
BS Item($ in millions)
Атат 6/30/2015
DirecTV 6/30/2015
AT&T Pro Forma
Cash
$17,290
$8,950
$26,240
Other Tangible Assets
$153,490
$17,200
$170,690
Intangible Assets
$77,360
$680
A
Goodwill
$73,840
$1,020
B
Total Assets
$321,980
$27,850
Total Liabilities
$252,970
$11,500
Book Value of Net Assets
$69,010
$16,350
E
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