how to create a consolidated worksheet to arrive at a consolidated balance sheet totals as of the acquisition by using the 3 different methods: Equity, Initial Value, and Partial-Equity Method. Use Excel and different tabs for each method Equity, Initial Value, Partial-Equity.

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Company A acquired 100% of Company B's voting stock on January 1, 2018 by issuing 10,000 shares of its $10 par value common stock. Company A's common stock had a fair value of $14 per share at that time. Company B's stockholder's equity was $105,000 at date of acquisition. The trademark was undervalued by $10,000. It has an indefinite life. Equipment (with a 5 year life) was undervalued by $5,000. A customer list that had been created internally had an estimated useful life of 20 years was valued at $20,000. Following are the financial statements for the two companies for the year ending December 31, 2018. Credit balances are indicated by (parentheses). Complete the trial balance of A Company (calculate income of sub and investment in sub) by using the three different investing accounting methods; Equity, Intial Value, and Partial Equity (use individual tabs following problem) Then, continue by preparing a consolidated worksheet for year ended Dec. 31, 2018. Include your consolidation and elimination entries in journal form with the exam. A Company B Company Revenues COGS (485,000) 160,000 Depreciation Exp 130,000 Net Income (190,000) 70,000 52,000 (68,000) R/E, 1/1 (609,000) (40,000) Net income (above) (68,000) Dividends paid 175,500 40,000 R/E, 12/31 (68,000) Cash 268,000 17,000 Trademark 427,500 58,000 Buildings & Eqp (net) 713,000 161,000 Total Assets 236,000 Liabilities (190,000) (103,000) Common Stock (600,000) (60,000) APIC (90,000) (5,000) R/E (above) (68,000) Total Liabilities & Equity (236,000) Company A acquired 100% of Company B's voting stock on January 1, 2018 by issuing 10,000 shares of its $10 par value common stock. Company A's common stock had a fair value of $14 per share at that time. Company B's stockholder's equity was $105,000 at date of acquisition. The trademark was undervalued by $10,000. It has an indefinite life. Equipment (with a 5 year life) was undervalued by $5,000. A customer list that had been created internally had an estimated useful life of 20 years was valued at $20,000. Following are the financial statements for the two companies for the year ending December 31, 2018. Credit balances are indicated by (parentheses). Complete the trial balance of A Company (calculate income of sub and investment in sub) by using the three different investing accounting methods; Equity, Intial Value, and Partial Equity (use individual tabs following problem) Then, continue by preparing a consolidated worksheet for year ended Dec. 31, 2018. Include your consolidation and elimination entries in journal form with the exam. A Company B Company Revenues COGS (485,000) 160,000 Depreciation Exp 130,000 Net Income (190,000) 70,000 52,000 (68,000) R/E, 1/1 (609,000) (40,000) Net income (above) (68,000) Dividends paid 175,500 40,000 R/E, 12/31 (68,000) Cash 268,000 17,000 Trademark 427,500 58,000 Buildings & Eqp (net) 713,000 161,000 Total Assets 236,000 Liabilities (190,000) (103,000) Common Stock (600,000) (60,000) APIC (90,000) (5,000) R/E (above) (68,000) Total Liabilities & Equity (236,000)

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Ans part A consideration transferred values In Dollars In In Dollars Dollars 140000 Less Book value ... View the full answer