Par Inc purchased 70.57% of Sub Corp's total outstanding voting shares for $275,447 on January 1, Year 3. The carrying value of Sub's identifiable net assets was $236,096 on that date. All of Sub's assets and liabilities had their fair values and carrying values the same, except for a Patent whose fair value was $39,347 higher on the date of acquisition. On the next day, Par sold 9.33% of its Sub shares on the open market for $45,451. What is the amount of the gain or loss on the sale of the shares on the next day? O a $19,258 Ob $20,246 Oc. $18,764 O d. $18.270 Oe. $19,752

Par Inc purchased 70.57% of Sub Corp's total outstanding voting shares for $275,447 on January 1, Year 3. The carrying value of Sub's identifiable net assets was $236,096 on that date. All of Sub's assets and liabilities had their fair values and carrying values the same, except for a Patent whose fair value was $39,347 higher on the date of acquisition. On the next day, Par sold 9.33% of its Sub shares on the open market for $45,451. What is the amount of the gain or loss on the sale of the shares on the next day? O a $19,258 Ob $20,246 Oc. $18,764 O d. $18.270 Oe. $19,752

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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