The following are selected account balances from Penske Company and Stanza Corporation as of December 31, 2021: Penske Stanza Revenues $ (816,000 ) $ (724,000 ) Cost of goods sold 290,600 181,000 Depreciation expense 163,000 368,000 Investment income Not given 0 Dividends declared 80,000 60,000 Retained earnings, 1/1/21 (700,000 ) (216,000 ) Current assets 460,000 550,000 Copyrights 950,000 447,000 Royalty agreements 662,000 1,122,000 Investment in Stanza Not given 0 Liabilities (554,000 ) (1,508,000 ) Common stock (600,000 ) ($20 par) (200,000 ) ($10 par) Additional paid-in capital (150,000 ) (80,000 ) Note: Parentheses indicate a credit balance. On January 1, 2021, Penske acquired all of Stanza’s outstanding stock for $790,000 fair value in cash and common stock. Penske also paid $10,000 in stock issuance costs. At the date of acquisition, copyrights (with a six-year remaining life) have a $520,000 book value but a fair value of $700,000. As of December 31, 2021, what is the consolidated copyrights balance? For the year ending December 31, 2021, what is consolidated net income? As of December 31, 2021, what is the consolidated retained earnings balance? As of December 31, 2021, what is the consolidated balance to be reported for goodwill?
The following are selected account balances from Penske Company and Stanza Corporation as of December 31, 2021:
Penske | Stanza | ||||||||
Revenues | $ | (816,000 | ) | $ | (724,000 | ) | |||
Cost of goods sold | 290,600 | 181,000 | |||||||
163,000 | 368,000 | ||||||||
Investment income | Not given | 0 | |||||||
Dividends declared | 80,000 | 60,000 | |||||||
(700,000 | ) | (216,000 | ) | ||||||
Current assets | 460,000 | 550,000 | |||||||
Copyrights | 950,000 | 447,000 | |||||||
Royalty agreements | 662,000 | 1,122,000 | |||||||
Investment in Stanza | Not given | 0 | |||||||
Liabilities | (554,000 | ) | (1,508,000 | ) | |||||
Common stock | (600,000 | ) | ($20 par) | (200,000 | ) | ($10 par) | |||
Additional paid-in capital | (150,000 | ) | (80,000 | ) | |||||
Note: Parentheses indicate a credit balance.
On January 1, 2021, Penske acquired all of Stanza’s outstanding stock for $790,000 fair value in cash and common stock. Penske also paid $10,000 in stock issuance costs. At the date of acquisition, copyrights (with a six-year remaining life) have a $520,000 book value but a fair value of $700,000.
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As of December 31, 2021, what is the consolidated copyrights balance?
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For the year ending December 31, 2021, what is consolidated net income?
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As of December 31, 2021, what is the consolidated retained earnings balance?
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As of December 31, 2021, what is the consolidated balance to be reported for
goodwill ?
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