Calculate the goodwill from the business combination. A. P10,000,000 C. P10,040,000 B. P10,025,000 D. P10,060,000 Summary information is given for SBMA, Inc. and PCIB Company at July 1, 2016. The quoted market price of SBMA and HIMYM shares are P36 andP40, respectively.SBMA Inc.HIMYM Inc.Book ValueFair ValueBook ValueFair ValueCurrent8,000,0009,000,00024,000,00024,000,000assetsPlant22,000,000 26,000,00026,000,00025,000,000assetsTotals30,000,000 35,000,00050,000,00049,000,000Liabilities5,000,0005,000,00015,000,00015,000,000Common Stocks,10,000,00020,000,000P10APIC1,000,0003,000,000Retained14,000,00012,000,000EarningsTotals30,000,00050,000,000 HIMYM Inc. acquires all the net assets of SBMA by issuing 1,000,000 of its own shares. PCIB Company incurred the following out of pocket costsrelating to the acquisition:Legal fees to arrange the business combination25,000Cost of shares SEC registration142,000Cost of printing and issuing new stock certificates3,000Indirect cost of combination20,000Finder's fees35,000The total retained earnings of the surviving company after the combination is

Total purchase consideration = (No. of shares issued x quoted market price) = (100000 shares x P40)…

Answered: Summary information is given for SBMA,…

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 May 1, Soriano Company reported the following account balances along with their estimated fair values: Carrying Amount $ 245,300 79,200 Fair Value $ 245,300 79,200 505,500 658,000 125,500 875,000 $ 1,325,000 $ 1,488,000 $ 253,000 729,800 Account Receivables Inventory Copyrights Patented technology Total assets Current liabilities Long-term liabilities Common stock Retained earnings $ 253,000 740,000 100,000 232,000 $ 1,325,000 On that day, Zambrano paid cash to acquire all of the assets and liabilities of Soriano, which will cease to exist as a separate entity. To facilitate the merger, Zambrano also paid $100,000 to an investment banking firm. The following information was also available: • Zambrano further agreed to pay an extra $71,200 to the former owners of Soriano only if they meet certain revenue goals during the next two years. Zambrano estimated the present value of its probability adjusted expected payment for this contingency at $35,600. • Soriano has a research and…
Mr. Khalid contributed inventory of OMR 10000 and cash OMR 22000 . His total capital for his new business will : Select one: a. Decrease by OMR 32000 b. Increase by OMR 22000 c. Increase by OMR 32000 d. Increase by OMR 10000
What is the statement of cash flows for this? Revenues = $304000 COGS = 164000 Depreciation = 24000 Other expenses = 28000 Loss of sale on land = 20000 Net income = 68000
Problem 1. (Accounting for Joint Operation Transactions) Small, Medium, and Large formed a joint operation. The following were the joint operation transactions: a. Small transferred cash of P100,000 to Large, the appointed manager, representing Small's contribution. b. Medium contributed inventories worth P120,000. c. Large contributed cash of P80,000 d. Large purchased inventories worth P160,000 and paid freight of P20,000 using the cash contributions. e. Large made cash sales of P900,000. f. Large paid expenses of P240,000 from the JO-cash. Other information: • All inventories were sold except one-third from large's purchases. Large was charged for the cost of the unsold inventory. • The joint operators agreed on the following: o Large is entitled to a management fee of P6,000 and a bonus of 15% of profit after management fee and bonus. o Any remaining profit or loss is divided equally. Requirement: Case 1: No separate records are maintained a. Prepare the journal entries for…
Give typing answer with explanation and conclusion
Please help me with show all calculation thanku
determine the goodwill impairment Net book value of Devon 3,600,000 Goodwill included in net book value 1,400,000 Fair value of Devon 2,800,000 Fair value of Devon's identifiable net assets, excluding goodwill 5,200,000
Consider a property with the following property level cash flows: NOI Y1 Y2 Y3 Y4 Y5 Y6 Y7 $200,000 $210,000 $220,000 $230,000 $240,000 $250,000 $260,000 Cash Flow $190,000 $199,500 $209,000 $218,500 $228,000 $237,500 $247,000 Assuming an initial purchase price of $5.0M, what is the 5-Year UNLEVERED Equity Multiple assuming gross proceeds from sale of $6,250,000 and 2% in selling costs? Group of answer choices 1.5 1.2 0.3 1.4
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if land and buildings are R100000, vehicles R75000, equipment 80000 and cash and cash equivalent R75000. the total for non-current assets is

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