Loading...

Messages

Proposals

Stuck in your homework and missing deadline? Get urgent help in $10/Page with 24 hours deadline

Get Urgent Writing Help In Your Essays, Assignments, Homeworks, Dissertation, Thesis Or Coursework & Achieve A+ Grades.

Privacy Guaranteed - 100% Plagiarism Free Writing - Free Turnitin Report - Professional And Experienced Writers - 24/7 Online Support

Franklin purchases 40 percent of johnson company

13/11/2020 Client: arwaabdullah Deadline: 3 days

Week 2 Chapter I

Ex1

SB Acker Inc. bought 40% of Howell Co. on...

Acker Inc. bought 40% of Howell Co. on January 1, 2017 for $576,000. The equity method of accounting was used. The book value and fair value of the net assets of Howell on that date were $1,440,000. Acker began supplying inventory to Howell as follows:

Cost to Acker

Transfer Price

Amount Held by Howell at Year-End

2017

$

55,000

$

75,000

$15,000

2018

$

70,000

$

110,000

$55,000

Howell reported net income of $100,000 in 2017 and $120,000 in 2018 while paying $40,000 in dividends each year.

· $8,000.

·

$20,000.

·

$40,000.

·

$15,000.

Ex2

Evan Company reports net income of $231,000 each year and declares an annual cash dividend of $140,000. The company holds net assets of $1,910,000 on January 1, 2017. On that date, Shalina purchases 40 percent of Evan's outstanding common stock for $945,000, which gives it the ability to significantly influence Evan. At the purchase date, the excess of Shalina’s cost over its proportionate share of Evan’s book value was assigned to goodwill. On December 31, 2019, what is the Investment in Evan Company balance (equity method) in Shalina’s financial records?

Top of Form

·

$1,054,200.

·

$1,166,200.

·

$1,129,800.

·

$1,222,200.

Bottom of Form

Ex3

Panner, Inc., owns 35 percent of Watkins and applies the equity method. During the current year, Panner buys inventory costing $125,600 and then sells it to Watkins for $157,000. At the end of the year, Watkins still holds only $22,500 of merchandise. What amount of gross profit must Panner defer in reporting this investment using the equity method?

· $8,475.

·

$12,375.

·

$1,575.

·

$6,675.

Ex4

On January 1, Puckett Company paid $2.73 million for 91,000 shares of Harrison’s voting common stock, which represents a 40 percent investment. No allocation to goodwill or other specific account was made. Significant influence over Harrison is achieved by this acquisition and so Puckett applies the equity method. Harrison distributed a dividend of $2 per share during the year and reported net income of $648,000. What is the balance in the Investment in Harrison account found in Puckett’s financial records as of December 31?

rev: 09_14_2018_QC_CS-138302

· $2,989,200.

·

$3,196,000.

·

$2,807,200.

·

$2,916,400.

Ex5

Problem 1-12 (LO 1-3, 1-4, 1-6)
Alex, Inc., buys 40 percent of Steinbart Company on January 1, 2017, for $1,028,000. The equity method of accounting is to be used. Steinbart’s net assets on that date were $2.40 million. Any excess of cost over book value is attributable to a trade name with a 20-year remaining life. Steinbart immediately begins supplying inventory to Alex as follows:

Year

Cost to Steinbart

Transfer Price

Amount Held by Alex at Year-End (at Transfer Price)

2017

$98,600

$116,000

$29,000

2018

170,820

219,000

68,000

Inventory held at the end of one year by Alex is sold at the beginning of the next.

Steinbart reports net income of $94,750 in 2017 and $128,250 in 2018 and declares $30,000 in dividends each year. What is the equity income in Steinbart to be reported by Alex in 2018?

· $58,956.

·

$43,656.

·

$38,896.

·

$52,056.

Ex.6

Ex7

Ex8
Problem 1-7 (LO 1-3, 1-4)
In January 2017, Domingo, Inc., acquired 20 percent of the outstanding common stock of Martes, Inc., for $823,000. This investment gave Domingo the ability to exercise significant influence over Martes, whose balance sheet on that date showed total assets of $4,467,000 with liabilities of $977,000. Any excess of cost over book value of the investment was attributed to a patent having a remaining useful life of 10 years.

In 2017, Martes reported net income of $247,000. In 2018, Martes reported net income of $291,500. Dividends of $91,000 were declared in each of these two years. What is the equity method balance of Domingo’s Investment in Martes, Inc., at December 31, 2018?

Multiple Choice

Top of Form

·

$894,300.

·

$978,500.

·

$869,300.

·

$991,000.

Bottom of Form

Ex9
Problem 1-8 (LO 1-3, 1-4)
Franklin purchases 40 percent of Johnson Company on January 1 for $576,700. Although Franklin did not use it, this acquisition gave Franklin the ability to apply significant influence to Johnson’s operating and financing policies. Johnson reports assets on that date of $1,484,000 with liabilities of $544,000. One building with a seven-year remaining life life is undervalued on Johnson’s books by $229,250. Also, Johnson’s book value for its trademark (10-year life) is undervalued by $272,500. During the year, Johnson reports net income of $137,000 while declaring dividends of $80,000. What is the Investment in Johnson Company balance (equity method) in Franklin’s financial records as of December 31?

Multiple Choice

Top of Form

·

$599,500.

·

$575,500.

·

$588,600.

·

$630,300.

Bottom of Form

Ex10

Homework is Completed By:

Writer Writer Name Amount Client Comments & Rating
Instant Homework Helper

ONLINE

Instant Homework Helper

$36

She helped me in last minute in a very reasonable price. She is a lifesaver, I got A+ grade in my homework, I will surely hire her again for my next assignments, Thumbs Up!

Order & Get This Solution Within 3 Hours in $25/Page

Custom Original Solution And Get A+ Grades

  • 100% Plagiarism Free
  • Proper APA/MLA/Harvard Referencing
  • Delivery in 3 Hours After Placing Order
  • Free Turnitin Report
  • Unlimited Revisions
  • Privacy Guaranteed

Order & Get This Solution Within 6 Hours in $20/Page

Custom Original Solution And Get A+ Grades

  • 100% Plagiarism Free
  • Proper APA/MLA/Harvard Referencing
  • Delivery in 6 Hours After Placing Order
  • Free Turnitin Report
  • Unlimited Revisions
  • Privacy Guaranteed

Order & Get This Solution Within 12 Hours in $15/Page

Custom Original Solution And Get A+ Grades

  • 100% Plagiarism Free
  • Proper APA/MLA/Harvard Referencing
  • Delivery in 12 Hours After Placing Order
  • Free Turnitin Report
  • Unlimited Revisions
  • Privacy Guaranteed

6 writers have sent their proposals to do this homework:

Buy Coursework Help
Quality Homework Helper
Peter O.
A+GRADE HELPER
Writer Writer Name Offer Chat
Buy Coursework Help

ONLINE

Buy Coursework Help

Hi dear, I am ready to do your homework in a reasonable price.

$62 Chat With Writer
Quality Homework Helper

ONLINE

Quality Homework Helper

Hi dear, I am ready to do your homework in a reasonable price.

$62 Chat With Writer
Peter O.

ONLINE

Peter O.

Hello, I can assist you in writing attractive and compelling content on ganja and its movement globally. I will provide with valuable, informative content that you will appreciate. The content will surely hit your target audience. I will provide you with the work that will be according to the needs of the targeted audience and Google’s requirement.

$55 Chat With Writer
A+GRADE HELPER

ONLINE

A+GRADE HELPER

Greetings! I’m very much interested to work on this project. I have read the details properly. I am a Professional Writer with over 5 years of experience, therefore, I can easily do this job. I will also provide you with TURNITIN PLAGIARISM REPORT. You can message me to discuss the detail. Why me? My goal is to offer services to you that are profitable. I don’t want you to place an order once and that’s it. For me to be successful, I need you to come back and order again. Give me the opportunity to work on your project. I wish to build a long-term relationship with you. We can have further discussion in chat. Thanks!

$55 Chat With Writer

Let our expert academic writers to help you in achieving a+ grades in your homework, assignment, quiz or exam.

Similar Homework Questions

Wk 1, HCS/335: DQ - Http learn genetics utah edu content addiction mouse - Discussion - Project management 3 - Pilar hola irene cómo 1 - Case Study 1: Part 2 Gulf Oil Spill - Aquafresh whitening trays - Writing Assignment Instructions - Caravan and camping show exhibitors - Linear scheduling method in construction management - Famous freedom fighters of the world - Nicolas bernardi em lyon - EMOTIONAL INTELIGENCE - DQ w1 650 - What you eat is your business - Review the Trauma Case Study for Maryam. Write a 750-1,000-word essay answering the following questions. Your number one goal is to make sure she is safe. - Marketing chapter 7 quiz answers - Nathan price poisonwood bible - Butl_ Learnign Feamework - A store sold a case of scented candles for 17.85 - Week 10 - Wileyplus exercise 7 11 - Kristen swanson nursing theory - 3 8 bspt drill size - Paranoid personality disorder case study examples - ACC 305 Intermediate Accounting I - Can negative reinforcers be punishers - Dmaic project report - Maximum benefit from independent internal verification is obtained when - Backpack literature 5th edition citation - Outline, Informative Speech, Reference page, and Presentation on Mexico City Sinking - Earl spencer's speech at princess diana's funeral - Ad sras lras graph - Discussion Questions - What is phenolphthalein used for in a chemistry lab - Nucleophilic addition reaction of grignard reagent - Of mice and men past questions - Economics - Interaction design institute in ivrea - Discussion q for swarm - Topic is Leadership or Army Leadership - Based on market research a film production company in ectenia - Http www yourleadershiplegacy com assessment html - The new humanities reader pdf - What are some of the major security threats caused by illegal immigration? - Aldridge & district dog training club - What can go wrong when failing to acquire morals - Video critique assignment - Why is bubble tea so expensive - Earth continuity test maximum allowable resistance as3000 - Tpg landline phone plans - Build your own tjm 4wd - According to the negro digs up his past - Explain the fruit of the poisonous tree doctrine - Jessica and lorenzo plot - Global business plan - Movies and meaning 6th edition - Which statement best captures the importance of good personal hygiene - Objectives of multinational business financial management - How to find nominal annual interest rate - Jointcommission org standards_i - Have smartphones destroyed a generation jean m twenge - Opponent process theory negative afterimages - Assignment and essay apa style - Byron bay beer dan murphys - Matlab run keyboard shortcut - I need a discussion - Electrical Safety - Super size me french fries test - Social work case studies foundation year 2013 pdf - Vnxe3200 latest firmware version - As you like it shakespeare script - HA575 Unit 10 Discussion - M-evaluation - Buy Powerful Magic Rings For Money-Fame and Luck IN SOUTH AFRICA - The tennis court oath analysis - Bs1361 short circuit capacity - Spanish preposiciones - Legislative worksheet sbar format how a bill becomes a law - Scs theme 1 comparison template - Reflective journal examples for nursing students - Business strategy essay - Channel guide virgin media - Sabas company has 20 000 shares of $100 par 2 cumulative - Cummins aftertreatment system diagram - Reflection paper on human relations - 生命 河 灵 粮 堂 诗歌 - Final paper - Mplus user guide 7 - I wanna know have you ever seen rain - Characters in the dressmaker - Different types of catering - Fumble is to finesse as malign is to beguile - Big mama thornton the life and music - Legal, Ethical, & Social Envn - Daniel gilbert reporting live from tomorrow - Roller coasters and energy physics classroom - Edi 997 implementation guide - The heart of the samurai - Find each missing length to the nearest tenth answers