Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. accounting
  3. expocorp makes an acquisition of simplecorp, payin

ExpoCorp makes an acquisition of SimpleCorp, paying $13m. Immediately prior to the acquisition, SimpleCorp had...

70.2K

Verified Solution

Question

Accounting

ExpoCorp makes an acquisition of SimpleCorp, paying $13m. Immediately prior to the acquisition, SimpleCorp had the following assets and liabilities, at the following book values. Prepaid Rent: $2m, Trademarks: $1m, Patents: $0m, Salaries Payable: $1m, Notes Payable: $3m. Our internal valuation experts estimate that the fair value of SimpleCorpss Trademarks and Patents, respectively, are $4m and $3m. (And the fair value of all other identifiable assets and liabilities is the same as their book value.)

Please enter the correct journal entry for this transaction below.

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students

Chemistry
1.2K views

when 1.0 mol of NO(g) forms from its elements, 90.29 kJ of heat is absorbed. How...

Psychology
1.2K views

What are some stakeholders viewpoint on the Healthy, Hunger- Free Act of 2010?

Biology
1.2K views

What would be a negative consequence of the kelp forest ecosystem falling out of balance?A....

Physics
1.2K views

tour times the original value Masses of three wires of copper are in the ratio...

Physics
1.2K views

11 A rigid circular loop of radius r and mass m lies in the x...

Calculus
1.2K views

The circumference of a sphere was measured to be 84 cm with a possible error...

Accounting
1.2K views

Consider the following problem: Hin-tDoca aa tharapartiate transame treating starties caule folder The daytime for...

Accounting
1.2K views

AudioFile Products Ltd. is a retailer of sound systems. The company is planning its cash...

Accounting
1.2K views

The Company does not have an internal audit department.Cloud9 set a goal to increase revenue...

Accounting
1.2K views

1) what is Assets minus liabilities? 2)Why does the Quick Ratio subtract inventory from the...

Finance
1.2K views

Question 16 (3 points) A company has reported earnings per share (EPS) of $2.4 this...

Accounting
1.2K views

A company is considering the purchase of a new machine for $72,000. Management predicts that...