The following book and fair values were available for Beech Company as of June 1: Alder Company
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The following book and fair values were available for Beech Company as of June 1:
Alder Company pays $3,900,000 cash and issues 20,000 shares of its $2 par value common stock (fair value of $50 per share) for all of Beech’s common stock in a merger, after which Beech will cease to exist as a separate entity. Stock issue costs amount to $25,000, and Alder pays $42,000 for legal fees to complete the transaction. Prepare Alder’s journal entries to record its acquisition of Beech.
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Related Book For
Fundamentals Of Advanced Accounting
ISBN: 9781266268533
9th International Edition
Authors: Joe Ben Hoyle, Thomas Schaefer, Timothy Doupnik
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