On January 1, 16, Brown Inc. acquired Larson Company’s net assets in exchange for Brown’s common stock

On January 1, 16, Brown Inc. acquired Larson Company’s net assets in exchange for Brown’s common stock with a par value of $100,000 and a fair value of $800,000. Brown also paid $10,000 in direct acquisition costs and $15,000 in stock issuance costs.

On this date, Larson’s condensed account balances showed the following:

	Book Value	Fair Value
Current Assets	$280,000	$370,000
Plant and Equipment	440,000	480,000
Accumulated Depreciation	(100,000)
Intangibles – Patents	80,000	120,000
Current Liabilities	(140,000)	(140,000)
Long-Term Debt	(100,000)	(110,000)
Common Stock	(200,000)
Other Paid-in Capital	(120,000)
Retained Earnings	(140,000)

 

Required: Record Brown’s purchase of Larson Company’s net assets.

 

Shrieves Casting Company is considering adding a new line to its product mix

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Parent Ltd acquired 100% of the issue shares of Subsidiary Pty Ltd

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Fast Feet Couriers Limited’s Balance Sheets as at 30 June 2016 and 2017 were as follows

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ACC701 – The Sunshine Coast Bank Limited has set monthly key performance indicators

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Australasia Ltd started operating on 1 July 2017 with 12 employees

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On 1 July 2017, Westland Limited an Australian company acquired the issued shares of Bull Limited

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On 1 July 2017. Echidna Ltd, an Australian company, acquired the issued shares of Bear Ltd

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On 1 July 2.017. Melbourne Ltd, an Australian company, acquired the issued shares of Memphis Ltd

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Sydney Ltd is a manufacturer of sheepskin products in Australia

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The accountant at Venus Ltd has asked you to prepare the statement of profit or loss

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Lion Ltd is an international company resident in Singapore

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