Question: Ginger Inc. is thinking about undertaking vertical integration by taking over the functions performed by one of their suppliers, Skipper nc. Ginger can either buy


Ginger Inc. is thinking about undertaking vertical integration by taking over the functions performed by one of their suppliers, Skipper nc. Ginger can either buy the net assets of, or 100% of the outstanding stock of Skipper for $800,000 plus $50,000 in direct acquisitior costs. Below is financial information for Skipper as of 12/31/201 : a) Complete the journal entry made by Ginger to account for an asset purchase of Skipper on 12/31/20X1 by entering the proper amounts in the gray-shaded cells. Ginger paid for the purchase price by issuing 20,000 shares of its stock which had a market value of $40 per share and a Par Value of $5 per share. When the correct amount is entered, the cell will change color: 3) Complete the journal entry made by Skipper to account for the asset purchase by Ginger on 12/31/201 by entering the proper amounts in the gray-shaded cells. When the correct amount is entered, the cell will change color: C) Complete the journal entry made by Ginger to account for a stock purchase of Skipper on 12/31/201 by entering the proper amounts in the gray-shaded cells. Ginger paid for the purchase price by issuing 20,000 shares of its stock which had a market value of $40 per share and a Par Value of $5 per share. When the correct amount is entered, the cell will change color
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