Assets Liabilities and Equity $ 20,000 280,000 400,000 100,000 Current liabilities. Common stock ($5 par). Paid-in capital in excess of par Retained earnings . Total liabilities and equity Cash $250,000 Inventory Property, plant, and equipment (net) . Goodwill 50,000 130,000 370,000 Total assets. $800,000 $800,000
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Venus Company purchases 8,000 shares of Sundown Company for $64 per share. Just prior to the purchase, Sundown Company has the following balance sheet: (see attachment)
Venus Company believes that the inventory has a fair value of $400,000 and that the property plant, and equipment is worth $500,000.
1. Prepare the value analysis schedule and the determination and distribution of excess schedule.
2. Prepare the elimination entries that would be made on a consolidated worksheet prepared on the date of acquisition.
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- Q39. Balance Sheet had the following amounts as at 31st March, 2019: $ Current Assets 10% Preference Share Capital Equity Share Capital 5,00,000 15,00,000 Current Liabilities Securities Premium Reserve Reserve and Surplus 1,00,000 Investments (in other companies) 4,00,000 Fixed Assets -Cots 30,00,000 Depreciation Written off Long-term from IDBI @ 9% Calculate ratios indicating the long-term and the Short-term financial position of the company. $ 12,00,000 8,00,000 2,00,000 60,00,000 14,00,000What is the value of the company's quick current assets?A. $ 164,477B. $ 305,885C. $ 243,146D. $ 486,266Brief ExerciseRatio Analysis Valiant Corporation has $1,800,000 in total liabilities, $800,000 of which arc current. Valiant has $400,000 of cash and cash equivalents, $300,000 of other current assets, and $2,000,000 in property, plant, and equipment. Required: Calculate Valiants debt to equity ratio.
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