assuming the beginning of the year (20X3) balance |in the Investment in A account is $716,000 complete the consolidated worksheet below. To aid in this, Information from Problem 4 is repeated below. Monroe Company purchased 80% of Adams Company on January 1, 2ox1. |The purchase price paid was $600,000. On that day, the book value of Adams was $500,000. Excess of cost over book value is due to goodwill. Included in Adams's income are intercompany sales to Monroe of $40,000 with a cost to Adams of $25,000. |30% of this Inventory Is on hand in the Monroe inventory at December 31, 20X3. In addition, Inventory |sold at a profit of $5,000 was in the inventory of Monroe at December 31, 20X2. Below are the balances of accounts of Monroe and Adams at December 31, 20X3. Consolidation Entries Consolidated Bal. Monroe Adams Dr. Cr. Sales $50,000 $250,000 CGS & Expenses $30,000 $150,000 Income from S. Income $100,000 NCI |Controlling Interest $700,000 $190,000 100.000 Retained Earnings Jan 1, 10 Dividends Retained Earnings Dec 31, 10 $290,000 Cash $120,000 $30,000 Receivables 90,000 70,000 Inventory Equipment (net) 100,000 100,000 100,000 350,000 Patents 50,000 Investment in A Goodwill 100,000 100,000 120.000 100.000 Land Building (net) $800,000 Accounts Payable $126,000 $50,000 Capital Stock Non-Controlling Interest 600,000 460,000 Retained Earnings (12/31) 290.000 $800,000

The owners of a company are planning to sell the business to new interests. The cumulative net earnings for the past 4 years were P6,000,000 including casualty loss of P200,000. The current value of net assets of the company was P16,000,000. Goodwill is determined by capitalizing average earnings at 8%. What is the amount of goodwill? a. P1.450.000 b. P1.550.000 c. P2,215.000 d. P3.375.000

Mans Company is about to purchase the net assets of Eagle Incorporated, which has the following balance sheet:   Assets     Accounts receivable   $  60,000 Inventory   100,000 Equipment $  90,000   Accumulated depreciation   (50,000) 40,000       Land and buildings $300,000   Accumulated depreciation (100,000) 200,000 Goodwill       60,000      Total assets   $460,000       Liabilities and Stockholders' Equity     Bonds payable   $  80,000 Common stock, $10 par   200,000 Paid-in capital in excess of par   100,000 Retained earnings       80,000      Total liabilities and equity   $460,000   Mans has secured the following fair values of Eagle's accounts:   Inventory $130,000 Equipment 60,000 Land and buildings 260,000 Bonds payable 60,000   Acquisition costs were $20,000.   Required:   Record the entry for the purchase of…

Required information Skip to question   [The following information applies to the questions displayed below.] As a long-term investment, Painters' Equipment Company purchased 20% of AMC Supplies Incorporated's 530,000 shares for $610,000 at the beginning of the fiscal year of both companies. On the purchase date, the fair value and book value of AMC’s net assets were equal. During the year, AMC earned net income of $380,000 and distributed cash dividends of 30 cents per share. At year-end, the fair value of the shares is $648,000.   2. Assume significant influence was acquired. Prepare the appropriate journal entries from the purchase through the end of the year. Note: If no entry is required for a transaction/event, select "No journal entry required" in the first account field.

Manji

Peanut Company acquired 90 percent of Snoopy Company's outstanding common stock for $310,500 on January 1, 20X8, when the book value of Snoopy's net assets was equal to $345,000. Peanut uses the equity method to account for investments. Trial balance data for Peanut and Snoopy as of December 31, 20X8, follow: Cash Accounts Receivable Inventory Investment in Snoopy Company Land Buildings and Equipment Cost of Goods Sold Depreciation Expense Selling & Administrative Expense Dividends Declared Accumulated Depreciation Accounts Payable Bonds Payable Common Stock Retained Earnings Sales Income from Snoopy Company Total Peanut Company Debit $ 174,000 181,000 211,000 353,700 206,000 707,000 187,000 41,000 220,000 89.000 $2,369,700 Credit $450,000 63,000 188,000 492,000 313,900 789,000 73.800 $2,369,700 Snoopy Company Debit $ 87,000 82,000 76,000 95,000 188,000 120,000 9,000 27,000 34,000 $718,000 Credit $18,000 48,000 69,000 196,000 149,000 238,000 0 $718,000 Required: a. Prepare any equity…