On January $1,20$X$3,$ Patrick Corporation issued $12,000$ shares of its $$10$ par value stock Question $3$:

On January $1,20$X$3,$ Patrick Corporation issued $12,000$ shares of its $$10$ par value stock to acquire all the net assets of Simon Company. Underlying book value and fair value information for the balance sheet items of Simon at the time of acquisition follow:

$\backslash$table$[[$Balance Sheet Item,Book Value,Fair Value$],[$Cash$,$$$60,000,$$ $60,000],[$Accounts Receivable,$100,000,100,000],[$Inventory$,60,000,115,000],[$Land$,50,000,70,000],[$Buildings & Equipment,$400,000,350,000],[$Less: Accumulated Depreciation,$(150,000),],[$Total Assets,$$520,000,$$$695,000],[$Accounts Payable,$ $10,000,$$ $10,000],[$Bonds Payable,$200,000,180,000],[$Common Stock $($$$5$ par value$),150,000,],[$Additional Paid$-$In Capital,$70,000,],[$Retained Earnings,$90,000,],[$Total Liabilities & Equities,$$520,000,]]$

Simon shares were selling at $$18$ and Patrick shares were selling at $$50$ just before the merger announcement. Additional cash payments made by Patrick Corporation in completing the acquisition wereRequired:Prepare all journal entries to record the business combination on Patrick's books. $($Show your detailed computation process.$)$

Question $4$:

Poon Company purchased $20$ percent of the outstanding shares of Soon Company for $$70,000$ on January $1,20$X$6.$ The following results are reported for Temp Company: $q,$

to acquire all the net assets of Simon Company. Underlying book value and fair value

information for the balance sheet items of Simon at the time of acquisition follow:

Simon shares were selling at $$18$ and Patrick shares were selling at $$50$ just before the

merger announcement. Additional cash payments made by Patrick Corporation in

completing the acquisition were

Simon Company

Patrick Corporation