Beruflich Dokumente
Kultur Dokumente
4-1
4-2
Analysis at Acquisition
Cost of 90% of Solo
Allocated to:
Amt Amort
Inventories
$10 1st yr
Book value
Land
30 -
Excess
Building
80 20 yrs
Equipment
Goodwill
Noncontrolling interest,
Unamort. Bal. Amortization Unamort. Bal.
12/31/2009 *
Inventorie
s
$10
Land
30
Building
80
Equipment
(20)
in 2010 *
on 12/31/2010
(20) 10 yrs
50
150
* Use the
12/31/2009
and 2010
amortization
in worksheet
entries for
2010.
4-3
Analysis at Acquisition
Cost of 90% of Solo
$360
Allocated to:
Amt Amort
$400
Inventories
$10 1st yr
250
Excess
$150
Land
30 -
Building
80 20 yrs
Equipment
Noncontrolling interest, 10%(400)
$40 Goodwill
Unamort. Bal. Amortization Unamort. Bal.
12/31/2009 *
in 2010 *
on 12/31/2010
Inventorie
s
$10
($10)
$0
Land
30
30
Building
80
(4)
76
Equipment
(20)
(18)
(20) 10 yrs
50
150
* Use the
12/31/2009
and 2010
amortization
in worksheet
entries for
2010.
4-4
2010
$60
Amortization
Adjusted
Solo's dividends
($12)
$48
$20
4-5
43.2
18.0
25.2
4-6
Pate: Entries (2 of 4)
4. Record noncontrolling interest in sub's earnings &
dividends
Noncontrolling interest share (I.S.)
4.8
2.0
2.8
150
360
40
4-7
Pate: Entries (3 of 4)
Allocate the unamortized excess according to
beginning of year balances.
Inventory
10
Land
30
Building, net
80
Goodwill
50
Equipment, net
20
Unamortized excess
150
Pearson Education, Inc. publishing as Prentice Hall
4-8
Pate: Entries (4 of 4)
6. Amortize fair value/book value differentials
Cost of sales
Inventory
Operating (depreciation) expense
Buildings, net
Equipment, net
Operating (depreciation) expense
10
10
4
4
2
2
4-9
Pate
Solo
900.0
300.0
DR
CR
Consol
Income statement:
Revenues
Income from Snap
???
(600.0
)
(150.0
)
Operating expenses
(190.0
)
(90.0)
120.0
50.0
Add
net income
153.2
Pearson Education, Inc. publishing as Prentice Hall
60.0
4-10
Pate
Solo
900.0
300.0
DR
CR
Consol
Income statement:
Revenues
Income from Snap
43.2
(600.0
)
Operating expenses
(190.0
)
43.2
0.0
(150.0
)
10.0
(760.0)
(90.0)
4.0
1,200.0
4.8
2.0
(282.0)
(4.8)
153.2
60.0
153.2
120.0
50.0
50.0
120.0
Add
net income
153.2
Pearson Education, Inc. publishing as Prentice Hall
60.0
60
153.2
4-11
Prep
Snap
Cash
13.0
15.0
76.0
25.0
Inventories
90.0
60.0
Land
60.0
30.0
Building, net
190.0
110.0
Equipment, net
150.0
120.0
Investment in Solo
DR
CR
Consol
????
Goodwill
Unamortized excess
Total
Accounts payable
91.0
70.0
Capital stock
700.0
200.0
Retained earnings
173.2
90.0
4-12
Prep
Snap
DR
CR
Cash
13.0
15.0
28.0
76.0
25.0
101.0
Inventories
90.0
60.0
10.0
Land
60.0
30.0
30.0
Building, net
190.0
110.0
80.0
4.0
376.0
Equipment, net
150.0
120.0
2.0
20.0
252.0
Investment in Solo
385.2
25.2
0.0
10.0
Consol
150.0
120.0
360
Goodwill
50.0
Unamortized excess
150.0 150.0
Total
50.0
0.0
964.2
360.0
1,077.0
91.0
70.0
161.0
Capital stock
700.0
200.0
200.0
700.0
Retained earnings
173.2
90.0
90
173.2
Accounts payable
40.0
2.8
4-13
42.8