adjust Other Assets- Holding account balance on Java the Hut's ledgers.

adjustment entries

Investment in New Castle Coffee
Acquisition Expense
Debt Setup Fees
	Other Assets - Holding
Record Purchase of New Castle Coffee stock (100%)

Prepare the appropriate journal entries to recognize the first quarter transactions currently reported in other assets-holding in the balance sheet of java the Hut (Parent Company)outlined in Schedule 1.

Schedule 1
Java the Hut Account Analysis
Other Assets - Holding Account Analysis as of 3/31/18
Acquisition of New Castle Coffee on 1/1/18
	Stock acquisition of 1,000 shares outstanding (Par Value = $1.00)
	Percent of shares outstanding						100%
	Purchase price at settlement						$ 150,000
	Acquisition Expense						$ 12,000
	Debt set-up costs (revolving credit agreement)						$ 6,000
Acquisition of New Castle Coffee on 1/1/18							$ 168,000
Equity investment in Newark Coffee Activity
	Purchase of 40% interest of shares outstanding 1/1/18						$ 44,000
	Dividends received on 3/1/18 (in cash)						$ (2,000)
Equity investment in Newark Coffee Activity							$ 42,000
Other Assets - Holding Account Analysis as of 3/31/18							$ 210,000