how is additional paid-in capital and common stock figures calculated? Homework help starts here!ASK AN EXPERT 2 CHAT VX MATH SOLVERE Q&A LibraryBook Value Fair Value Inventory. Land... Buildings. C...Sr no.DateParticularsPost RefDebitCreditProfessional servcie expense A/cTo Cash A/c42,00042,000(Being legal service paid)EXPERTAdditional Paid in Capital A/cTo Cash A/c(Being stock issue expenses recorded)SOLUTION25,00025,000Inventory A/cLand A/cBuildings A/cCustomer Relationship A/cGoodwill A/cTo Accounts Payable A/cTo Common Stock A/cTo Additional Paid In Capital A/cTo Cash A/c(Being acquisiton entry passed A/c)600,000990,0002,000,000800,000690,00080,00040,000960,0004,000,000Working Notes:Goodwill Calculation:ParticularsAmountFair Value of Assets$ 600,000$ 990.000Inventory A/cLand A/cBuildings A/cCustomer Relationship A/c|(-) Accounts PayableFair Value of the companyAmount PaidFOLLOW-UPQUESTIONS$ 2,000,000800,000(80,000)$ 4,310,000$ 5,000,000Goodwill690,000 Homework help starts here!ASK AN EXPERTCHAT VX MATH SOLVERE Q&A LibraryBook Value Fair Value Inventory. Land... Buildings. C...QuestionW SLuuents wiTo ve Seen uis questioii disO LIKE.ACCOUNTINGFINANCIAL ACCOUNTING10th EditionThe following book and fair values were available for Westmont Company as of March 1.Arturo Company pays $4,000,000 cash and issues 20,000 shares of its $2 par value common stock (fair value of$50 per share) for all of Westmont's common stock in a merger, after which Westmont will cease to exist as aseparate entity. Stock issue costs amount to $25,000 and Arturo pays $42,000 for legal fees to complete thetransaction. Prepare Arturo's journal entries to record its acquisition of Westmont.ISBN: 9781259964947FINDAuthor: LibbyPublisher: MCGFair ValueChapter 1: F... vSection: Ch...Book ValueInventory.Land.Buildings.Customer relationshipsAccounts payableCommon stock$ 630,000750,0001,700,000-0-$ 600,000990,0002,000,000800,000(80,000)Problem 10(80,000)(2,000,000)(500,000)(360,000)(420,000)280,0009 Not helpful? See similar booksAdditional paid-in capital.Retained earnings, 1/1.RevenuesExpensesTranscribed Image Text: Book Value Fair Value Inventory. Land... Buildings. Customer relationships Accounts payable. Common stockLearn more aboutConsolidationAdditional paid-in capital Retained earnings, 1/1. Revenues. Expenses $ 630,000 750,000 1,700,000 -0- $ 600,000 990,000 2,000,000 800,000EXPERTSOLUTION(80,000) (80,000) (2,000,000) (500,000) (360,000) (420,000) 280,000!!!

Additional Paid in Capital - $25,000 is the stock issue costs as given in the Question

Answered: how is additional paid-in capital and…

Business

Accounting

how is additional paid-in capital and common stock figures calculated

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Similar questions

Spring 2021 Final Exam(2) Saved to this PC - егences Mailings Review View Help AaBbCcD AaBbCcDc AaBbC AaBbCcC A aB 三。 I Normal T No Spac. Heading 1 Неading 2 Title Paragraph Styles 6-Dyson Manufacturing Company had the following financial statement results for last year. Net sales were $1.2 million with net income of $90,000. Total assets at year-end amounted to $900,000. a. Calculate Dyson's asset turnover ratio and its profit margin. b. What is Dyson's rate of return on assets. 7-Marriot Corporation has two bond issues outstanding, each with a par value of $1,000. Information about each is listed below. Suppose market interest rates rise 2 percentage point across the yield curve. What will be the change in price for each of the bonds? Does this tell us anything about the relationship between coupon rate and interest rate risk? Bond A: 10 years to maturity, 0 percent coupon, market interest rate is 10 percent. Bond B: 10 years to maturity, 10 percent coupon, market interest rate is 10…
dbm 105 fund x DBM 105.pdf Home Question Z Not yet answered tps://eclass.uonbi.ac.ke/mod/quiz/attempt.php?attempt=876769&cmid=38254&page=1 Marked out of 10.00 Flag question IO X Events Dashboard My Courses This course Joe Durango prepared the following trial balance from the accounting records of his firm, Dango Traders. TAKE AWAY CAT DUE SUNDAY 3 X Sales Sales Returns and Allowances - Durango Traders Trial Balance As at 31.7.2019 Purchases Purchases Returns and Allowances Freight-in Advertisement Salaries Administrative Expenses Stationery and Printing Office Equipment at Cost Accumulated Depreciation: Office Equipment Capital: J.Durango 1/8/2018 Drawings: J.Durango Cash Trade Debtors Trading Inventory 1/8/2018 Prepaid Insurance Dr.(Kshs) Cr.(Kshs) 675,000 2,250 436,500 11,700 2,250 52,200 3.150 4.050 27,000 45,000 78,235 10,350 70,650 1,620 3,150 10,125 49.480 CAT-LDP 109: FUNDAMENTALS x + X hp W
Saved e Quiz: Accounting for Current Liabi... A Required information Knowledge Check 01 The records of Pippins, Incorporated, included the following information: Net sales 475,000 Gross margin Interest expense Income tax expense Net income 000'0 000'0 Compute the times interest earned ratio, rounded to the nearest decimal. O 4.8 O 6.4 O7.4 O 20.0 *********** II F3 F5 F6 F8 F4 #3
On January 1, 2022, Chris Columbus decided to start a new business, Ahoy Mates, that sells children's toy boats. Each boat is sold for $24. The following purchases were made during 2022. FINANCIAL ACCOUNTING Inventory Costing Case Name Jan 1 Jan 15 Feb 2 Feb 10 Mar 1 April 4 June 1 a. Aug 14 Nov 15 Dec 6 9. Items 550 @ 200 @ 900 @ 500 @ 200 @ 750 @ 325 @ 475 @ 850 @ 300 @ Cost $10.89 10.80 10.78 11.20 11.45 Ahoy Mates uses a periodic inventory system and has 325 items remaining in inventory. At December 31, Ahoy Mates is trying to determine which inventory costing method he should use. Answer the following questions to help Ahoy Mates determine which method he will adopt for his new business. 1. How many items did Ahoy Mates purchase in 2022? 2. What is the cost of goods purchased by Ahoy Mates in 2022? 3. How many items remain in Ahoy Mates inventory as of December 31? 4. How many items did Ahoy Mates sell in 2022? 11.40 11.72 11.80 12.20 12.32 5. What was Ahoy Mates total sales…
Prepare the Journal Mar. 1(a) Purchased children laptop toys from Esorbma Limited, $95,000, terms 1/10, n/30, FOB shipping point. (b)The responsible party paid the freight charges of $500. The goods were collected by the shipping company on 1 March and arrived at ITI’s warehouse on 4 March.1(c) Sold 22,500 Treasury shares at $2 each. 1(d) Purchased 10% shareholding in Charlie Limited, a supplier, as a long-term investment. The fair value of the 10% shareholding was $2,900,000 as at 1 March. The purchase consideration included a $2,700,000 note receivable due from Charlie Limited and the related interest receivable balance of $144,000, $140,000 cash and a motor vehicle owned by ITI. The motor vehicle was originally obtained at $120,000. additional information for depreciation: (i)Building, (ii) equipment and (iii) motor vehicles are recorded at historicalcost and their estimated useful lives are 50 years, 5 years and 5 years respectively. No residual value is expected for the…
pogle Chrome updates, you'll need OS X 10.11 or later. This computer is using 08 X 10.10. octoring Enabled: Exam 1 (Chapters 1-4) Help Seve &Exit Submit The following Income statement Items appeared on the adjusted triel balance of Faxworthy Corporation for the year ended December 31, 2021 ($ In 000s): sales revenue, $22,000; cost of goods sold, $14,350; selling expense, $2,270; general and administrative expense, $1,170; dividend revenue from Investments, $170; Interest expense, $270. Income taxes heve not yet been accrued. The company's Income tax rate Is 25% on all Items of Income or loss. These revenue and expense Items appear In the company's Income statement every year. The company's controller, however, has asked for your help In determining the appropriate treatment of the following nonrecurring transactions that also occurred during 2021 ($ In 000s). All transactions are materlal In amount. 18 1. Investments were sold during the year at a loss of $270. Foxworthy also had an…
General Accounting I 2020-2021 Fall Term Final Exam (page 18 of 25)-Google Chrome a.tr/mod/quiz/attempt.php?attempt=361811&cmid=180187&page=17 MSKÜ-LMS 1807 ŞB: 1 ÖRGÜN General Accounting I İktisadi ve Idari Bilimler Fakültesi İktisa 8 A credit sale of $3,600 is made on July 15, terms 2/10, n/30, on which a return of $200 is granted on July 18. What amount is received as payment in full on July 247 Tanmadi O a. $3.332 izerinden tlenmiş O b. $3,600 oruyu etle OC $3.528 O d. $3,400 Önceki sayfa
Prepare the Journal Mar. 1(a) Purchased children laptop toys from Esorbma Limited, $95,000, terms 1/10, n/30, FOB shipping point. (b)The responsible party paid the freight charges of $500. The goods were collected by the shipping company on 1 March and arrived at ITI’s warehouse on 4 March.1(c) Sold 22,500 Treasury shares at $2 each. 1(d) Purchased 10% shareholding in Charlie Limited, a supplier, as a long-term investment. The fair value of the 10% shareholding was $2,900,000 as at 1 March. The purchase consideration included a $2,700,000 note receivable due from Charlie Limited and the related interest receivable balance of $144,000, $140,000 cash and a motor vehicle owned by ITI. The motor vehicle was originally obtained at $120,000. ( for depreciation details, refer to note (c) of additional information.)1(e) Sold remote control helicopters valued at $296,000 to TnecNiv Limited, a wholesaler, terms n/20, FOB destination. The appropriate party paid delivery charges of $600. The…
Instructions Prepare the entry to record the purchase of Zweifel Galleries on Moss's 0,000 cash and issuing a $100,000 note payable to Steve Young. At July 1, 2017, the balance sheet of Young Compa follows. was as antric $ 50,000 90,000 Accounts payable Stockholders' equity $200,000 235,000 10 EXCEL Cash Accounts receivable $435,000 100,000 40,000 75,000 bo1g a1otboqmos n 70,000 eo lemuoj lls 9neqsrt 81OS E 10,000 enu mon aros bne 10S ni b Inventory Land nstsg s bis sioloedo onsh Buildings (net) Equipment (net) Trademarks on dat $435,000 ashdaubal 29noT (einsicY bo Isitug The recorded amounts all approximate current values except for land (fair value of $60,000), inventory (fair value of $125 000 and trademarks (fair value of $15,000). 000.0 Instructions isti (a) Prepare the July 1 entry for Brigham Corporation to record the purchase. er gub (b) Prepare the December 31 entry for Brigham Corporation to record amortization of intangibles. The trademark has an estimated useful life of 4…
Saved to my Mac Design Layout References Mailings Review View Q Tell me | 11 A^ A Aa v AaBbCcDdE ab X2 x A v Av 三三三=| 三。 Normal 3. Given the following financial data below prepare the appropriate closing journal entries Owner's Capital Ending Inventory $ 50,000 18,000 Owner's Withdrawals 23,000 Sales Revenue 500,000 Purchases 110,000 20,000 కంకిలో Sales Returns and Allowances Freight Hn 5,400 Sales Discounts 7,500 Purchase returns and Allowances Beginning inventory Freight-Out Advertising Expense Interest Expense 4,000 17,000 2,300 15,000 19,200 53,000 Salaries and Wages Expense Utilities Expense 18,000 9,000 Depreciation Expense Interest Revenue 18,000 Required: Prepare the closing entries
qw.15. Transactions for July, 2022 Batch 1 July 2 Purchased $2,000 of Inventory on account, terms 1/20, n/45. (Tax rate:13%) July 7 Sold to Zoe Financial Company on credit terms 2/15, n/30 $3,000. (Tax rate:13%) Batch 2 July 15 Paid salaries for 2 employees: Luo Jie, $1,300 cheque #10 and Zheng Rui, $1,600 cheque #15 July 17 Paid for the July 2 purchase on cheque #20. Batch Number: 001 Batch Description: Transaction Batch #1 Entry Number: 001 Entry Description: Date: Period: Source: GL - Account Number Account Description Debit Credit Journal Entry Totals Entry Number: 002 Entry Description: Date: Period: Source: GL - Account Number Account Description Debit Credit Journal Entry Totals Batch Totals Batch Number: 002 Batch Description: Transaction Batch #2 Entry Number: 001 Entry Description: Date: Period: Source: GL - Account Number Account Description Debit Credit Journal Entry Totals Entry Number: 002 Entry Description:…
The company quickly acquired $45,000 in inventory, 60% of which was acquired on open accounts that were payable after 30 days. The rest was paid for in cash. Cash Dollar amount: 18000 Account: Account: Inventory Dollar amount: 45000 Account: Accounts Payable Dollar amount: -27000 Account: Leave Blank Dollar amount: Foil1=Leave%20Blank Account: Leave Blank Dollar amount: Foil 1=Leave%20Blank Submit Answer Incorrect. Tries 3/5 Previous Tries