England Company assembled the following data relative to a certain entity in determining the amount to be paid for net assets and goodwill: 2,600,000 Assets at fair value before goodwill Liabilities 900,000 Shareholders' equity 1,700,000 Net earnings after elimination of unusual or infrequent items:
Q: Recording Goodwill upon Acquisition On January 1, 2020, the balance sheet of Naperville Company (a…
A: Amortization: Amortization is the same as depreciation. It is a process of charging the cost of an…
Q: GOODWILL - Financial Reporting Considerations Cabot Corporation's statement of financial position at…
A: Goodwill is an intangible asset which arises when the amount of purchase consideration paid exceeds…
Q: Part A: For the fiscal year ended March 31, 2020, X Company, the 80%-owned subsidiary of Y…
A: "Since you have asked multiple question, we will solve the first question for you. If you want any…
Q: The general ledger of Sunland Corporation as of December 31, 2021, includes the following accounts:…
A: intangible assets = the asset which can't be seen or touched but is of great value to the…
Q: In which of the following situations would Martinez Indus-tries include goodwill in its balance…
A: Goodwill: Goodwill is an intangible asset. It is defined as the excess of cost of an acquired…
Q: ANEMONE Company engaged your services to compute the goodwill in the purchase of another company…
A:
Q: The value of the net assets of Adom Plc as disclosed on the statement of financial position at 31…
A: Fair value of business means market value or estimated fair value of business assets and…
Q: Company A purchased Company B for $156 cash. At the time of purchase, Company B had the following…
A: Lets understand the basics. When purchaser paid more than the net asset of the company then goodwill…
Q: High, a parent company, acquired Low, an unincorporated entity, for $2,800,000. A fair value…
A: Property, plant and equipment RM3,000M Identifiable intangible asset RM500M Inventory RM300M…
Q: 1. Prepare any necessary journal entries associated with the three classes of assets for the year…
A: Hey there since you have posted multiple questions, we can answer only first question, please…
Q: Narnia company have the following data relative to a certain entity in determining the amount to be…
A: SOLUTION- GOODWILL IS AN INTANGIBLE ASSETS THAT IS ASSOCIATED WITH THE PURCHASE OF ONE COMPANY BY…
Q: The following are data related to the affairs of Kilometro Company: Carrying value of its assets…
A: The secured creditors are those creditors who issue credit products and the credit is backed by the…
Q: One company acquired another in a transaction in which $100,000 of the acquisition price is assigned…
A: One company acquired with $ 100000 of the acquisition price is assigned to Goodwill
Q: ome of $600,000 and declared and paid dividends of $200,000. Fiscal Year 2020 depreciation and…
A: Given information: Stake owned by X = 80% Net income = $600,000 Dividends = $200,000 Identifiable…
Q: ollowing is information about the reporting unit of Y company as of 12/31/19 The fair value of the…
A: Impairment of assets means reducing the book value of assets when carrying amount is more than…
Q: MZubiri Company owned the following two assets at year end: Equipment Inventory 80,000 Current cost…
A: The correct answer for the above mentioned question is given in the following steps for your…
Q: An entity reported the following assets and liabilities at year-end: Carrying amount Tax…
A: In simple term Deferred tax is a duty responsibility that is payable in future. how much personal…
Q: An entity incurred the following research and developments costs in the current year: Materials used…
A: The research and development department is a separate department maintained by a business that helps…
Q: On January 1, 20X1, Porta Corporation purchased Swick Company's net assets and assigned goodwill of…
A: Concept of impairment of assets Details Available Testing Good will for impairment…
Q: At the year end the company management decided to value the worth of its own brand. The worth of the…
A: Intangible assets are described as those resources which cannot be touched or seen. Some examples of…
Q: Alomar Co., a consolidated enterprise, conducted an impairment review for each of its reporting…
A: Impairment losses arise whenever the carrying value of the assets is more than its fair value.…
Q: Alomar Co., a consolidated enterprise, conducted an impairment review for each of its reporting…
A: Introduction: "Goodwill" is an accounting term that refers to the difference between a company's…
Q: The identifiable assets and liabilities approximated their fair values except for inventories with…
A: The consolidated net income of the organisation is the sum of the net income of the parent company…
Q: The balance sheet for Tomkins plc, a British company, is presented as follows. Tomkins…
A: a)
Q: Arizona Corp. acquired the business Data Systems for $320,000 cash and assumed all liabilities at…
A: a. Calculate the goodwill for Arizona Corporation.
Q: Determine whether there is any goodwill impairment and if so please calculate the goodwill…
A: When the book value or previously recorded value of the goodwill of any entity is lower than the…
Q: Alomar Co., a consolidated enterprise, conducted an impairment review for each of its reporting…
A: An impairment loss is recognized when the carrying value or the book value of the asset is more than…
Q: Simon Company determines that its goodwill is impaired. It finds that the book value of its…
A: Given: Book value of the asset - 1,490,000 Fair value of the asset - 1,450,000 Recorded goodwill -…
Q: Given all the data, in the books of Kingdom Co. this transaction resulted in: a. Goodwill recorded…
A: Given: The books of kingdom Co transaction resulted as follows, Goodwill recorded at P1,324,200b.…
Q: Using the proportionate basis or partial goodwill method, compute the consolidated retained earnings…
A: Consolidated financial statements are the financial statements of a group consisting of multiple…
Q: Accounting Answer asap Group Ccc-Three Ltd has identified its non-current assets consist of three…
A: Revaluation gain is the excess of recoverable amount over the carrying amount of assets, it is…
Q: The fair value of the net identifiable assets of Pax Limited are determined as follows: ($000)…
A: Goodwill: Goodwill is an intangible asset. It is defined as the excess of cost of an acquired…
Q: Knowl Company plans to dispose of a group of net assets that form part of a disposal group. The net…
A: Impairment Loss It is important in the accounting to find out the impairment loss which are incurred…
Q: Eastern Management Ltd acquired all the assets and liabilities of King Ltd on 30 June 2017. The…
A: In case one company overtake the assets and liabilities of another company , then accounting for…
Q: An entity reported the following assets and liabilities at year-end: Carrying amount Tax…
A: Deferred Tax Liability A liability for paying the taxes in the future is denoted by Deferred tax…
Q: -On July 1, 2019, Captain Company paid $3,000,000 for all of the common stock of Bright Sunshine,…
A: Impairment expenditure is an accounting expenditure that is recognised when a durable decrease in…
Q: An entity reported the following assets at year-end: Franchise - 1,000,000 Computer Software -…
A: Answer - Calculation of total amount that should be reported as intangible assets -…
Q: England Company assembled the following data relative to a certain entity in determining the amount…
A: Note: Since we only answer up to 3 sub-parts, we’ll answer the first 3. Please resubmit the question…
Q: Alomar Co., a consolidated enterprise, conducted an impairment review for each of its reporting…
A: 1. Fair Value of Reporting unit $1,028 Fair value of net assets excluding goodwill:…
Q: Alomar Co., a consolidated enterprise, conducted an impairment review for each of its reporting…
A: The excess of the amount paid by the company during the purchase of another company is termed as…
Q: Which of the following best describes the IRC $ 165 reportable loss transaction thresholds…
A: One category of reportable transaction is a loss transaction, which is defined as any transaction in…
Q: omar Co., a consolidated enterprise, conducted an impairment review for each of its reporting units.…
A: Impairment is the reduction in the value of a company's fixed assets and intangible assets. When the…
Q: Marigold Corporation purchased Splish Brothers Company 3 years ago and at that time recorded…
A: Goodwill: Goodwill is an intangible asset. It is defined as the excess of cost of an acquired…
Q: Goodwill Impairment On January 1, 20Y3, The Simmons Group, Inc., purchased the assets of NWS…
A: Impairment of Goodwill: The term 'Impairment' simply means deterioration in the value of the…
Q: Naughty Company assembles the following data relative to a certain entity in determining the amount…
A: Solution:- 1)Calculation of Average earnings are capitalized at 10% as follows under:- Note:-Average…
Q: On December 31, an entity had a reporting unit that had a book value of $3,450,000, including…
A: Under the new standard, goodwill needs to be impaired if the reporting unit's carrying value is more…
Q: ompany which prepares financial statements to 31 December classifies a non-current asset as held for…
A: The amount by which the carrying value of an asset or a cash-generating unit exceeds its recoverable…
Step by step
Solved in 2 steps
- PBA Co. provided these data for 2020: Income from continuing operations Unrealized gain on financial asset at FVPL Unrealized gain on equity investment at FVOCI Unrealized loss on debt investment at FVOCI Loss on credit risk of a financial liability at FVPL unrealized gain on futures contract designated as cash flow hedge NET remeasurement gain on a defined benefit plan Translation loss on foreign operation Income from discontinued operations Revaluation surplus P4,000,000 800,000 1,000,000 1,200,000 300,000 400,000 600,000 200,000 500,000 2,500,000 How much should be reported as other comprehensive income for 2020?SBP Co. provided these data for 2020: Income from continuing operations Unrealized gain on financial asset at FVPL Unrealized gain on equity investment at FVOCI Unrealized loss on debt investment at FVOCI Loss on credit risk of a financial liability at FVPL unrealized gain on futures contract designated as cash flow hedge NET remeasurement gain on a defined benefit plan Translation loss on foreign operation Income from discontinued operations Revaluation surplus P4,000,000 800,000 1,000,000 1,200,000 300,000 400,000 600,000 200,000 500,000 2,500,000 How much should be reported as net income for 2020?A potential offering price for a company is computed by adding the estimatedgoodwill to the ______________?a. book value of the company's net assets.b. book value of the company's net identifiable assets.c. fair value of the company's net assets.d. fair value of the company's net identifiable assets. explain answer
- MVP Co. provided these data for 2020: Income from continuing operations Unrealized gain on financial asset at FVPL Unrealized gain on equity investment at FVOCI Unrealized loss on debt investment at FVOCI Loss on credit risk of a financial liability at FVPL unrealized gain on futures contract designated as cash flow hedge NET remeasurement gain on a defined benefit plan Translation loss on foreign operation Income from discontinued operations Revaluation surplus P4,000,000 800,000 1,000,000 1,200,000 300,000 400,000 600,000 200,000 500,000 2,500,000 How much should be reported as comprehensive income for 2020?Resolve and explain the result of the current ratio for XYZ Company and compare andexplain this result with the Industry average, where current liabilities = $581,000 andcurrent assets = $832,000. a. Resolve the current ratio for XYZ Company b.Explain the result of the current ratio for XYZ Company c.Compare and explain the result of the current ratio for XYZ Company with the Industryaverage.Under PFRS 9, a financial asset shall be measured subsequently at amortized cost when: I. The business model of the entity is to hold the financial asset in order to collect contractual cash flows on specifies dates. II. The contractual cash flows are solely payment of principal and interest on the principal amount outstanding. O Il only Both I anf II O Either I orll O lonly Next
- WHat is the Fixed Assets Turnover Ratio ? given Noncurrent Assets Equity securities - at fair value through other comprehensive income 8, 21 16,267,140 Due to related parties - noncurrent portion 8, 21 347,927,681 Property and equipment - net 9 6,390,497,964 Deferred tax assets 19 64,994,497 Retirement benefits asset 18 16,267,140 Other non-current assets 10, 21 30,221,963 Available for sale investment 10 - Total Noncurrent Assets 6,849,909,245 Revenue 2,104,932,423The following selected information is for H55 Corporation: Total assets Total shareholders' equity Sales Cost of goods sold Net income. H55 had no preferred shares. ype here to search 2021 $357,000 $285,000 136.000 503.000 378.759 2020 32.695 97,500 394,000 276.982 29.944 2019 $267,000 48,500 297.000 181,000 20,400Unusual income statement items Assume that the amount of each of the following items is material to the financial statements. Classify each item as either normally recurring (NR) or unusual (U) items. If unusual item, then specify if it is a discontinued operations item (DO). a. Interest revenue on notes receivable. b. Gain on sale of segment of the company's operations that manufactures bottling equipment. c.Loss on sale of investments in stocks and bonds. d. Uncollectible accounts expense. e. Uninsured flood loss. (Hood insurance is unavailable because of periodic Hooding in the area.)
- Retained profit from the statement of comprehensive income is________. Select one: a. subtracted from reserves in the statement of financial position b. added to reserves in the statement of financial position c. carried forward to form part of the trading profit for the next year d. shown as an asset in the statement of financial positionCalculate the following ratios based on the balance sheet, income statement and cash flow prepared in question ROE Return on Capital Employed (post-tax) Net Profit Margin EBITDA Margin Effective Tax Rate Operating Cost Ratio Gross Profit Margin Total Asset Turnover Ratio Fixed Asset Turnover Ratio Receivables Turnover Ratio Leverage Ratio [Avg. Total Assets / Avg. Total Equity] FCF / EBITDA Interest Coverage Ratio Debt Service Coverage Ratio Basic EPS (Assume Face Value of each share is INR 10) Debt : Equity Ratio Income Statement (INR Cr) Units Mar/14 Saleable Units 4,570 Revenues Gross Revenues INR Cr 2,116 Less: Environment Cess INR Cr 5 Net Revenues INR Cr 2,121 Growth (%) -1.9% Expenses O&M Expenses (% of Project Costs) INR Cr 146 YoY Escalation 5.72% EBITDA INR Cr 1,974 Margin (%) 93.1% Book Depreciation INR Cr 439 Interest Expenses INR…when preparing the consolidated financial statements, which of the following should be deducted from the group reserves? a. share in associate profit b. value of the loan from subsidary to associate c. group's share of sub-subsidary profit d. value of goodwill impairment expense