Paul, Inc. acquired 100% of Ernie’s Inc. net assets on January 1, 2009 for $300,000 in cash and paid 10,000 for acquisition cost. The following facts relate to the acquisitions: Accounts Receivable 50,000 Inventory 80,000 Equipment, Net 50,000 Land and Building, Net 120,000 Total Assets $300,000 Bonds Payable 90,000 Common stock 100,000 Retained earnings 110,000 Total Liabilities […]
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