Show the order of priority of payment of debts for Oakland Ltd and calculate the amount payable to the company’s trade accounts payable.

Q: Positivism Corporation paid $150,000 for an 30% interest in Science Tech Corporation on January 1,…

A: When a buyer buys some business and pays more money compared to the net asset value received. The…

Q: Maharlika Company filed for liquidation with the Philippine Securities and Exchange Commission. Its…

A: Liquidation means where the company decide to close out the operations , sell all the assets and…

Q: calculate the amount payable to the company’s trade accounts payable.

A:

Q: Accounting Quake Corporation paid $1,680,000 for a 30% interest in Tremor Corporation's outstanding…

A: A business combination is a transaction or agreement in which the acquirer obtains a stake in the…

Q: On January 1, 20x1, DIAPHANOUS Co. acquired all of the identifiable assets and assumed all of the…

A: Acquisition related costs does not form part of purchase consideration, and are expensed during the…

Q: Oakland Ltd, whose capital consisted of $50000 in fully paid shares, was wound up as a result of a…

A: As per the rule, the time a company is liquidated, its debt is paid in a defined order. The…

Q: Show the order of priority of payment of debts for Master Ltd and calculate the amount payable to…

A: Accounts payable: Accounts payable is a current liability account that records the amount owed by…

Q: On January 1, 20X1, ABC acquired 5,000 of XYZ’s bonds denominated at P1,000, 12% interest rate, 5…

A: On 01.01.20X1, ABC acquired XYZ bonds = 5000 bonds Par value per bond = P1000 Total bonds acquired =…

Q: Duko Corporation is acquiring the net assets, exclusive of cash, of Weber Company as of January 1,…

A: 1) Gain on acquisition : Therefore, gain on acquisition is $210,000. WORKINGS ARE: WORKINGS:

Q: Peter Corporation purchased the net assets of Salim, Inc. on January 2, 2020 for $380,000 cash and…

A: Under net asset method any amount paid in access of net assets is treated as goodwill.

Q: ABC Company filed for liquidation with the Philippine Securities and Exchange Commission. Its latest…

A: 1) computation of non-cash current assets: Carrying amount of the non-cash current assets = 75% of…

Q: Zaata Ltd decided to repurchase 500,000 of its ordinary shares under a buy-back scheme for $5.70 per…

A: Buy-back of shares: It is a corporate action, wherein the company repurchases its own shares from…

Q: Jordan, Inc., holds 75 percent of the outstanding stock of Paxson Corporation. Paxson currently owes…

A: Consolidated financial statements: These financial statements are consolidated financial statements…

Q: TJH Company is currently under financial difficulty and is unable to meet interest payments and fund…

A: Liab=Face value+Accrued interest =10000000+1000000 =11000000 Bonds Liability per…

Q: If CARDO Co purchases the net assets of SYANO Co by issuing 5,000 shares of their P10 par value…

A: Calculation of Consolidate Total Liabilities at the date of Acquisition:

Q: ABC Company filed for liquidation with the Philippine Securities and Exchange Commission. Its latest…

A: Estate equity or Estate deficit Total adjusted value of assets-Accounts Payable and Mortage Payable…

Q: If CARDO Co purchases the net assets of SYANO Co by issuing 5,000 shares of their P10 par value…

A: Net assets refer to the amount of total assets less total liabilities. Total assets include fixed…

Q: Popoy Corporation (PC) purchased all the common shares of Sia Company (SC) on January 1, P180,000…

A: Given Information: Consolidated financial statements of Popoy corporation and Sia company.

Q: The following transactions pertain to PARANGAWAMONA Corporation: • Purchased 15,000 shares of the…

A:

Q: 5. On January 2, 2019, U Co. purchased 75% of the outstanding shares of N Co. resulting to a…

A:

Q: Sony Co. issued bonds payable amounting to P500,000 for the new assets of JBL Corp. At the time of…

A: We should first determine the acquiree. In this case JBL Corp is the acquiree. Gain or loss on…

Q: On 1/1/2020, ABC Corporation balance sheet included the following accounts: Patents $100,000, Bonds…

A: Since XYZ acquiring 100% of all assets. Particulars Amount $ Patents 100000 Less : Bonds…

Q: Choco Company’s current receivables from affiliated companies at December 31, 2011 are (1) a…

A: AR termed as Accounts receivable refers to the amount of money which is due to the business for…

Q: debt restructuring

A: Debt restructuring is a financial facility provided by lenders to the defaulting customers to repay…

Q: Show the order of priority of payment of debts for Plano Ltd and calculate the amount payable to the…

A: Given information is: ano Ltd, whose capital consisted of $50000 in fully paid shares, was wound up…

Q: On January 2, 2018, Miller Properties paid $19 million for 1 million shares of Marlon Company’s 6…

A:

Q: At the time of liquidation, Fairchild Company reported assets of $200,000, liabilities of $120,000,…

A: Working:

Q: An acquiring company pays $45 million in cash, and issues new no-par stock with a fair value of $75…

A: Introduction: Goodwill is recognized when the purchase price is more than the total fair value of…

Q: What is the amount of consolidated assets on December 31?

A: Investment in subsidiary does not reported in consolidation financial statement because the parent…

Q: Liquidation Southwestern Wear Inc. has the following balance sheet: Current assets $1,875,000…

A: Given Information:  Trustee ' Cost = $296,000  Proceed from sales of Assets =$2,300,000

Q: 8.  On May 31, 2021 Armstrong paid $3,500,000 to acquire all of the common stock of Police Corp…

A: Impairment loss refers to the situation which occurs when the assets of the business suffers…

Q: Unsecured liabilities without priority P150,000 Fully secured creditors 20,000 Partially secured…

A: Partially secured creditors (Secured with asset valued at P10,000) = P15,000 Stockholder's equity…

Q: present in good accounting form When AAA Company filed for liquidation with the Securities and…

A: Particulars Amount Cash available from land and building after paying off mortgage payable…

Q: On January 1, 2020, Pfizer Corp. acquired 80% of Vaxx Corp.’s common stock for P160,000 cash. The…

A: A goodwill asset is an intangible asset acquired when one company buys another. The portion of the…

Q: Choco Company's current receivables from affiliated companies at December 31, 20x5 are (1) a…

A: Accounts receivable are referred to the money due to a firm for goods or services delivered. It is…

Q: How much is the unrealized gain (loss) accumulated in equity as of December 31, 20x2? Karen Co.…

A: The answer for the multiple choice question and relevant working are presented hereunder : Cost of…

Q: When AAA Company filed for liquidation with the Securities and Exchange Commission, it prepared the…

A: In case of liquidation, all the amount realised from the sale of assets would be first utilised for…

Q: Plano Ltd, whose capital consisted of $50000 in fully paid shares, was wound up as a result of a…

A: First Order of priority of payments of debts for Plano Ltd Debentures (secured by circulating…

Q: A Corporation has had financial difficulty and is being liquidated. The firm has a liquidation value…

A: Common shares are the ordinary shares held in the hands of the ordinary shareholders of the company.…

Q: a)ii) Prepare Statement of Financial Position as at 30 June 2021. (Show all workings. Present your…

A: The question requires including the additional information in the books of accounts. For this we…

Q: Please provide solution and explanation. Thank you.  On January 1, 20x1, ABC Co. acquired 10%,…

A: Step 1 Investment in bond is a financial asset.

Q: Baguio Company is experiencing financial difficulty and is renegotiating debt restructuring with the…

A: Debt restructuring means debts are swapped with the other options. Debt restructuring can cause…

Q: The Harvard Company acquired a 30% equity Interest in Baywatch Company for P4,000,000 on January 1,…

A: Carrying amount refers to the asset cost subtract the accumulated depreciation and it is usually…

Q: On June 1, Cline Co. paid $800,000 cash for all of the issued and outstanding common stock of Renn…

A: The amount paid in excess for the purchase of existing business over fair value of the asset…

Q: ABC Company is in financial difficulties and agreed to issue 20,000 of its P20 par value shares in…

A: Here discuss about the details of extinguishment of debt while incurred the equity swap to the loan…

Q: Raymund Lipstix Co. owns 80% of PH Care, Inc. During the year, PH Care, Inc. filed for bankruptcy…

A: The correct option with proper explanation are as follows

Q: South Company acquires a 90% interest in West Company for $585,000 cash on January 1, 20X0, when…

A: West total net income: $50,000 20X0 Sales Dr. $50,000     Retained Earnings Cr.   $50,000…