Advanced Accounting
12th Edition
ISBN: 9781305084858
Author: Paul M. Fischer, William J. Tayler, Rita H. Cheng
Publisher: Cengage Learning
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Chapter 1, Problem 1.2.3C
Case 1-2 Disney Acquires Marvel Entertainment
On December 31, 2009, The Walt Disney Company acquired all the capital stock of Marvel Entertainment Company. Marvel has created heroes such as Spiderman, the Hulk, and Iron Man.
Disney acquired 79.2 million shores of Marvel Entertainment’s shares. Disney issued 59 million shores of Disney stock plus $30 (or each shore of Marvel Entertainment stack. Disney stock, which has a par value of $0.01 per shore, had a market value of $32.25 per shore. The estimated fair value of Marvel Entertainment accounts were as follows:
*Other liabilities was actually a noncontrolling interest which is actually on equity interest that is discussed in Chapter 2.
3. Record the acquisition.
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