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On June 30, 2020, Wisconsin, Inc., Issued $158,100 in debt and 21,600 new shares of its $10 par value stock to Badger Company owners in exchange for all of the outstanding shares of that company. Wisconsin shares had a fair value of $40 per share. Prior to the combination, the financial statements for Wisconsin and Badger for the six-month period ending June 30, 2020, were as follows (credit balances in parentheses)

On June 30, 2020, Wisconsin, Inc., Issued $158,100 in debt and 21,600 new shares of its $10 par value stock to Badger Company owners in exchange for all of the outstanding shares of that company. Wisconsin shares had a fair value of $40 per share. Prior to the combination, the financial statements for Wisconsin and Badger for the six-month period ending June 30, 2020, were as follows (credit balances in parentheses)

FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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On June 30, 2020, Wisconsin, Inc., issued $158,100 in debt and 21,600 new shares of its $10 par value stock to Badger Company owners in exchange for all of the outstanding shares of that company. Wisconsin shares had a fair value of $40 per share. Prior to the combination, the financial statements for Wisconsin and Badger for the six-month period ending June 30, 2020, were as follows (credit balances in parentheses): Revenues Expenses Net income Retained earnings, 1/1 Net income Dividends declared Retained earnings, 6/30 Cash Receivables and inventory Patented technology (net) Equipment (net) Total assets Liabilities Common stock Additional paid-in capital Retained earnings Total liabilities and equities Accounts a.Net income b. Retained earnings. 1/1/20 e Patented technology (net) d. Goodwill Liabilities Common stock 9. Additional paid-in capital Wisconsin S (983,000) 687,000 Amounts $ (296,000) $ (892,000) (296,000) 102,250 $(1,085,750) $ 187,750 418,000 987,000 706,000 $ 2,298,750 3 (583,000) (160,000) (270,000) (1,085,758) $(2,298,750) Badger $ (448,000) 286,000 $ (162,000) $(253,000) (162,000) $ $ Wisconsin also paid $31,600 to a broker for arranging the transaction. In addition, Wisconsin paid $45.600 in stock Issuance costs. Badger's equipment was actually worth $703,000, but its patented technology was valued at only $304.900. What are the consolidated balances for the following accounts? (Input all amounts as positive values) (415,000) 259,000 174,000 3,000 601,000 $1,367,000 $(482,000) (200,000) (270,000) (415,000) $(1,167,000)
Transcribed Image Text:On June 30, 2020, Wisconsin, Inc., issued $158,100 in debt and 21,600 new shares of its $10 par value stock to Badger Company owners in exchange for all of the outstanding shares of that company. Wisconsin shares had a fair value of $40 per share. Prior to the combination, the financial statements for Wisconsin and Badger for the six-month period ending June 30, 2020, were as follows (credit balances in parentheses): Revenues Expenses Net income Retained earnings, 1/1 Net income Dividends declared Retained earnings, 6/30 Cash Receivables and inventory Patented technology (net) Equipment (net) Total assets Liabilities Common stock Additional paid-in capital Retained earnings Total liabilities and equities Accounts a.Net income b. Retained earnings. 1/1/20 e Patented technology (net) d. Goodwill Liabilities Common stock 9. Additional paid-in capital Wisconsin S (983,000) 687,000 Amounts $ (296,000) $ (892,000) (296,000) 102,250 $(1,085,750) $ 187,750 418,000 987,000 706,000 $ 2,298,750 3 (583,000) (160,000) (270,000) (1,085,758) $(2,298,750) Badger $ (448,000) 286,000 $ (162,000) $(253,000) (162,000) $ $ Wisconsin also paid $31,600 to a broker for arranging the transaction. In addition, Wisconsin paid $45.600 in stock Issuance costs. Badger's equipment was actually worth $703,000, but its patented technology was valued at only $304.900. What are the consolidated balances for the following accounts? (Input all amounts as positive values) (415,000) 259,000 174,000 3,000 601,000 $1,367,000 $(482,000) (200,000) (270,000) (415,000) $(1,167,000)
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