On January 1, 2021, PORKING acquired majority of SAPER’s outstanding voting stocks. On that day, the (incomplete) working paper entries on that day were as follow WPE#1 Dr: Ordinary shares of SAPER 300,000 Dr: APIC of SAPER 300,000 Dr: RE of SAPER 375,000 Cr: Investment in SAPER ? Cr: Non-controlling interest ? WPE#2 Dr: Assets of SAPER 174,500 Cr: Investment in SAPER 113,425 Cr: Non-controlling interest ? WPE#3 Dr: Goodwill ? Cr: Investment in SAPER 74,075 Cr: Non-controlling interest ? Group of answer choices a.None of the choices b.50% c.100% d.75%
On January 1, 2021, PORKING acquired majority of SAPER’s outstanding voting stocks. On that day, the (incomplete) working paper entries on that day were as follow WPE#1 Dr: Ordinary shares of SAPER 300,000 Dr: APIC of SAPER 300,000 Dr: RE of SAPER 375,000 Cr: Investment in SAPER ? Cr: Non-controlling interest ? WPE#2 Dr: Assets of SAPER 174,500 Cr: Investment in SAPER 113,425 Cr: Non-controlling interest ? WPE#3 Dr: Goodwill ? Cr: Investment in SAPER 74,075 Cr: Non-controlling interest ? Group of answer choices a.None of the choices b.50% c.100% d.75%
Cornerstones of Financial Accounting
4th Edition
ISBN:9781337690881
Author:Jay Rich, Jeff Jones
Publisher:Jay Rich, Jeff Jones
ChapterA2: Investments
Section: Chapter Questions
Problem 25E
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Question
On January 1, 2021, PORKING acquired majority of SAPER’s outstanding voting stocks. On that day, the (incomplete) working paper entries on that day were as follow
WPE#1 |
Dr: Ordinary shares of SAPER |
300,000 |
|
Dr: APIC of SAPER |
300,000 |
|
Dr: RE of SAPER |
375,000 |
|
Cr: Investment in SAPER |
? |
|
Cr: Non-controlling interest |
? |
|
|
|
WPE#2 |
Dr: Assets of SAPER |
174,500 |
|
Cr: Investment in SAPER |
113,425 |
|
Cr: Non-controlling interest |
? |
|
|
|
WPE#3 |
Dr: |
? |
|
Cr: Investment in SAPER |
74,075 |
|
Cr: Non-controlling interest |
? |
Group of answer choices
a.None of the choices
b.50%
c.100%
d.75%
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