Company AB is the largest e-commerce firm in country CN. The company was started to sell products of small Chinese manufacturers all over the world. A significant growth in the market of Country CN is expected with the development of the internet. The revenue generated is through ads, transaction fees, listing fees of more than 10 million active sellers in all their marketplaces. They are facing a lot of internal and external challenges moving forward. To explain: The global strategy to be pursued by Company AB in Country US.

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Answer 1

Question

Chapter MC, Problem 20.4DQ

a)

Summary Introduction

Case summary:

Company AB is the largest e-commerce firm in country CN. The company was started to sell products of small Chinese manufacturers all over the world. A significant growth in the market of Country CN is expected with the development of the internet.

The revenue generated is through ads, transaction fees, listing fees of more than 10 million active sellers in all their marketplaces. They are facing a lot of internal and external challenges moving forward.

To explain: The global strategy to be pursued by Company AB in Country US.

b)

Summary Introduction

To explain: The global strategy to be pursued by for Country US companies in Country CN.

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EXERCISE 3-5 Treasury Stock Held by Subsidiary LO 8Pool Company purchased 90% of the outstanding common stock of Spruce Company on December31, 2019, for cash. At that time the balance sheet of Spruce Company was as follows:Current assets $1,050,000Plant and equipment 990,000Land 170,000Total assets $2,210,000Liabilities $ 820,000Common stock, $20 par value 900,000Other contributed capital 440,000Retained earnings 150,000Total 2,310,000Less treasury stock at cost, 5,000 shares 100,000Total equities $2,210,000Required:Prepare the elimination entry required for the preparation of a consolidated balance sheet workpaper on December 31, 2019, assuming:(1) The purchase price of the stock was $1,400,000. Assume that any difference between thebook value of net assets and the value implied by the purchase price relates to subsidiary land.(2) The purchase price of the stock was $1,160,000. Assume that the subsidiary land has a fairvalue of $180,000, and the other assets and liabilities are…

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Answer 2

Question

Chapter MC, Problem 20.4DQ

a)

Summary Introduction

Case summary:

Company AB is the largest e-commerce firm in country CN. The company was started to sell products of small Chinese manufacturers all over the world. A significant growth in the market of Country CN is expected with the development of the internet.

The revenue generated is through ads, transaction fees, listing fees of more than 10 million active sellers in all their marketplaces. They are facing a lot of internal and external challenges moving forward.

To explain: The global strategy to be pursued by Company AB in Country US.

b)

Summary Introduction

To explain: The global strategy to be pursued by for Country US companies in Country CN.

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Answer 3

Question

Chapter MC, Problem 20.4DQ

a)

Summary Introduction

Case summary:

Company AB is the largest e-commerce firm in country CN. The company was started to sell products of small Chinese manufacturers all over the world. A significant growth in the market of Country CN is expected with the development of the internet.

The revenue generated is through ads, transaction fees, listing fees of more than 10 million active sellers in all their marketplaces. They are facing a lot of internal and external challenges moving forward.

To explain: The global strategy to be pursued by Company AB in Country US.

b)

Summary Introduction

To explain: The global strategy to be pursued by for Country US companies in Country CN.

Expert Solution & Answer

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Answer 4

Question

Chapter MC, Problem 20.4DQ

a)

Summary Introduction

Case summary:

Company AB is the largest e-commerce firm in country CN. The company was started to sell products of small Chinese manufacturers all over the world. A significant growth in the market of Country CN is expected with the development of the internet.

The revenue generated is through ads, transaction fees, listing fees of more than 10 million active sellers in all their marketplaces. They are facing a lot of internal and external challenges moving forward.

To explain: The global strategy to be pursued by Company AB in Country US.

b)

Summary Introduction

To explain: The global strategy to be pursued by for Country US companies in Country CN.

Expert Solution & Answer

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Answer 5

Chapter MC, Problem 20.4DQ

a)

Summary Introduction

Case summary:

Company AB is the largest e-commerce firm in country CN. The company was started to sell products of small Chinese manufacturers all over the world. A significant growth in the market of Country CN is expected with the development of the internet.

The revenue generated is through ads, transaction fees, listing fees of more than 10 million active sellers in all their marketplaces. They are facing a lot of internal and external challenges moving forward.

To explain: The global strategy to be pursued by Company AB in Country US.

b)

Summary Introduction

To explain: The global strategy to be pursued by for Country US companies in Country CN.

Answer 6

Chapter MC, Problem 20.4DQ

a)

Summary Introduction

Case summary:

Company AB is the largest e-commerce firm in country CN. The company was started to sell products of small Chinese manufacturers all over the world. A significant growth in the market of Country CN is expected with the development of the internet.

The revenue generated is through ads, transaction fees, listing fees of more than 10 million active sellers in all their marketplaces. They are facing a lot of internal and external challenges moving forward.

To explain: The global strategy to be pursued by Company AB in Country US.

Answer 7

Chapter MC, Problem 20.4DQ

a)

Summary Introduction

Case summary:

Company AB is the largest e-commerce firm in country CN. The company was started to sell products of small Chinese manufacturers all over the world. A significant growth in the market of Country CN is expected with the development of the internet.

The revenue generated is through ads, transaction fees, listing fees of more than 10 million active sellers in all their marketplaces. They are facing a lot of internal and external challenges moving forward.

To explain: The global strategy to be pursued by Company AB in Country US.

Answer 8

b)

Summary Introduction

To explain: The global strategy to be pursued by for Country US companies in Country CN.

Answer 9

b)

Summary Introduction

To explain: The global strategy to be pursued by for Country US companies in Country CN.

Answer 10

Expert Solution & Answer

Answer 11

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Answer 12

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Answer 13

Ch. MC - Prob. 1.1DQ Ch. MC - Prob. 1.2DQ Ch. MC - Prob. 1.3DQ Ch. MC - Prob. 1.4DQ Ch. MC - Prob. 1.5DQ Ch. MC - Prob. 2.1DQ Ch. MC - Prob. 2.2DQ Ch. MC - Prob. 2.3DQ Ch. MC - Prob. 2.4DQ Ch. MC - Prob. 2.5DQ

Solution Summary: The author explains that Company AB is the largest e-commerce firm in country CN, which is facing a lot of internal and external challenges.

Concept explainers

To explain: The global strategy to be pursued by for Country US companies in Country CN.

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Chapter MC Solutions