Duck Corporation acquired 75 percent of the outstanding voting shares of Goose, Inc. on January 1st 2022 which it held as a subsidiary. Duck paid a total of $1,650 in cash for these shares. This payment represents the proportionate share of the fair value of Goose. On January 1st, 2022, Goose’s book value was $1,500 and all recorded assets and liabilities had fair values equal to their book values except equipment, with a 5-year remaining life, that was under-valued on the company accounting records by $250. Also Goose’s newly developed patent, with an estimated life of 10-years, was assessed to have a fair value of $300 although it was not recorded on the books. Adjusted Trial Balances as of December 31, 2023 were as follows: Duck Goose Debits Current Assets $885 $920 Land 900 700 Buildings & Equipment 700 900 Investment in Dong 2,010 0 Operating expenses 400 100 Dividends 80 60 Total debits $4,975 $2,680 Credits Liabilities $745 $380 Common Stock 1,560 1200 Retained Earnings 1/1 1,530 600 Revenue 900 500 Investment Income 240 0 Total credits $4,975 $2,680 No idea where to start please help Set up the income statement, statement of retained earnings and balance sheet for Duck and Goose in work paper format for later consolidation. Make sure your statements BALANCE before you go any further! Prepare a chart to reconcile the change in the Investment in Goose from the date of purchase, January 1, 2022, to December 31, 2023. Make sure you have totals for year-end 2022 and 2023 so any manager reading the chart can easily see what is driving changes in the investment balance. Use a single underline before the year-end totals, but I recommend highlighting that row in a different color and not using a double underline below the numbers. Prepare all 2023 General Journal entries and consolidation entries in proper journal entry form, but separate according to type since the consolidation entries are NOT made in the books of either company – just used to facilitate the consolidation on the worksheet. GOOSE Balance Sheet January 01, 2022 ASSETS Current Assets $1,000 Total Current Assets $1,000 Non-Current Assets Land $700 Buildings & Equipment ($900 + $250) $1,150 Patent $300 Total Non-Current Assets $2,150 Total Assets $3,150 LIABILITIES & STOCKHOLDERS' EQUITY Common Stock $1,200 Retained Earnings ($1,500 + $250 + $300) $1,950 Total Liabilities & Stockholders' Equity $3,150 

Where do the $1000 for current asset come from?

Answer rating: 100% (QA)

Answer lets break this down stepbystep 1 Gooses Balance Sheet as of January 1 2022 Current Assets 10... View the full answer