Question: Ch 1: Problem 1.8 Equity Method Investment with Basis Differences: On January 2, 2020, best beverages acquired 45% of the stock of better bottlers for

Ch 1: Problem 1.8 Equity Method Investment with Basis Differences: On January 2, 2020, best beverages acquired 45% of the stock of better bottlers for 30 million in cash. Best Beverages accounts for its investment using the equity method. At the time of acquisition, better bottlers balance sheet was as follows (In millions) Better Bottlers Balance Sheet, January 2, 2020 Assets 20 Mil Current Assets- 415 Mil Property and Equipment, net- 150 Mil Patents and trademarks Total Assets- 585 Mil Liabilities and equity Current Liabilities 42 Mil Long Term Debt- 518 Mil Total Liabilities- 560 Mil Capital Stock- 12 Mil Retained earnings- 13 Mil Total Equity- - 25 Mil Total Liabilities and equity 585 Mil Valuation of Better Bottlers asgets and liabilities revealed that its reported patents and trademarks (10-year-old) had fair value of 160 million and it had unrecognized brand names (15-year life) worth 9 million. Better bottlers December 31, 2023, retained earnings balance is 25 million For 2023, it reported net income of 2.5 million and paid 650,000 in dividends Required A. Prepare the 2023 entries to report the above information on best beverages books B. Calculate the investment in better bottlers balance, reported on best beverages December 21, 2023, balance sheet. Amortization Table lish (United States) Focus

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