Consolidation of Financial Information for Atkins and Waterson
Not what you're looking for?
Prior to being united in a business combination, Atkins, Inc. and Waterson Corp. had the following stockholders' equity figures:
Atkins Waterson
Common Stock ($1 par value) $180,000 $45,000
Additional paid-in capital 90,000 20,000
Retained Earnings 300,000 110,000
Atkins issues 51,000 new shares of its common stock valued at $3 per share for all of the outstanding stock of Waterson. Assume that Atkins acqures Waterson. Immediately afterward, what are consolidated Additonal Paid-in Capital and Retained Earnings Respectively?
a) $104,000 and $300,000
b) $110,000 and $410,000
c) $192,000 and $300,000
d) $212,000 and $410,000
Purchase this Solution
Solution Summary
Consolidation of financial information for Atkins and Waterson is examined.
Solution Preview
Prior to being united in a business combination, Atkins, Inc. and Waterson Corp. had the following stockholders' equity figures:
Atkins Waterson
Common Stock ($1 par value) $180,000 $45,000
Additional paid-in ...
Education
- BA, Ain Shams University, Cairo Egypt
- MBA, California State University, Sacramento
Recent Feedback
- "ty i have more need help with"
- "ty i have jmore i need help with"
- "great help"
- "excellent help"
- "Very helpful and easy to understand."
Purchase this Solution
Free BrainMass Quizzes
Balance Sheet
The Fundamental Classified Balance Sheet. What to know to make it easy.
Understanding the Accounting Equation
These 10 questions help a new student of accounting to understand the basic premise of accounting and how it is applied to the business world.
IPOs
This Quiz is compiled of questions that pertain to IPOs (Initial Public Offerings)
Managing the Older Worker
This quiz will let you know some of the basics of dealing with older workers. This is increasingly important for managers and human resource workers as many countries are facing an increase in older people in the workforce
Employee Orientation
Test your knowledge of employee orientation with this fun and informative quiz. This quiz is meant for beginner and advanced students as well as professionals already working in the HR field.