Value Analysis

Price Paid
Fair Value
Goodwill

Implied Co

Parent (80%) NCI (20%)

700000
405000
295000

560000
324000
236000

140000
81000
59000

Entries
debit

credit

Investment in Dalke
Common Stock
Paid in Capital

560,000

Acquisition Expense
Cash

40000

D&D Schedule
Price Paid:
Less: Equity
Common Stock
Paid in Capital
Retained Earnings
Total
% Acquired
Book Value
Excess
Add:
Inventory
Land
Building
Equipment
Goodwill
Total

14000
546000

40000

Implied Co. Parent (80%) NCI (20%)

700000
560000
140000
20000
180000
140000
340000
100%
340000
360000

20000
50000
30000
-35000
295000
360000

340000
80%
272000
288000

340000
20%
68000
72000

Balance Sheet
Assets:
OtherAssets
Inventory
Land
Building
Equipment
Goodwill
Liabiliites:
Current Liabilities
Common Stock -R
Paid in Capital- R
Retained Earnings -R

DR

CR
120000
200000
190000
450000
505000
295000

240000
54000
906000
492000

Entry:

DR

Investment in Express
Cash

CR
320000
320000

2) Value Analysis
Price Paid
FV of Assets
Gain

Implied CO Parent (80%) NCI(20%)

405400
320000
85400
427000
341600
85400
-21600
-21600
0

2) D&D Schedule
Price Paid:
Less: Equity
C/S
P/S
R/E
Total
% Acquired
Book Value
Excess

Implied Co Parent (80%) NCI (20%)

405400
320000
85400
50000
250000
70000
370000
100%
370000
35400

Add:
Inventory
Land
Building
Equipment
Discount BP
Gain
Total

Adjustment Entry:
Inventory
Land
Building
Equipment
Discount BP
R/E- P (Gain)
NCI
Investment in Express

370000
80%
296000
24000

370000
20%
11400
11400

20000
10000
20000
2000
5000
-21600
35400

DR

CR

Eliminaton Entry:
C/S
P/C
R/E
Investment in E

20000
10000
20000
2000
5000
21600
11400
24000

DR

CR
40000
200000
56000
296000

Value Analysis
Price Paid
FV of Assets
Goodwill

Implied Co Parent (80%) NCI (20%)

475000
380000
95000
335000
268000
67000
140000
112000
28000

D&D Schedule
Price Paid
Less: Equity
C/S
P/C
R/E
Total
% Acquired
Book Value
Excess
Add:
Inventory
Land
Building
Copyright
Bond- Permium
Goodwill
Total

Implied Co Parent (80%) NCI (20%)

475000
380000
95000
50000
70000
130000
250000
100%
250000
225000

20000
10000
45000
15000
-5000
140000
225000

250000
80%
200000
180000

250000
20%
50000
45000

ACCOUNTS
DR
Cash
Account Rec
Inventory
Investment in Sub
Land
Building/EQ
Acc Dep
Copyright
Goodwill
Bonds Premium

Parent
CR
255000
70000
130000
380000
50000
350000

Sub
CR

Elimination
CR

DR

DR

40000
30000
120000

20000 200000 and 180000

35000
230000

10000
45000

100000
40000

NCI
CR

DR

50000
10000

15000
140000

Balance Sheet
CR
295000
100000
270000
0
95000
625000
150000
65000
140000

5000

C/L
Bonds Payable
c/s- Adam
p/c- Adam
r/e- Adam
c/s Sampson
p/c Sampson
r/e (NCI)
Total

DR

192000

5000

65000
100000

257000
100000
100000
250000
633000

100000
250000
633000

1275000

1275000

465000

50000
70000
130000

40000
56000
104000

45000

465000

430000

430000

10000
14000
71000
95000

95000
1590000

1590000

Value Analysis
Implied Co
Parent (100%) NCI
1100000
1100000
850000
850000
250000
250000

Price Paid
FV of Assets
Goodwill

D&D Schedule
Price Paid
Less: Equity
c/s
p/c
r/e
Total
% Acquired
Book Value
Excess
Add:
Inventory
Land
Buildings
Equipment
Patent
Comp Soft
Premium
Goodwill
Total

Implied Co Parent (100%) NCI

1100000
1100000
10000
190000
140000
340000
100%
340000
760000

-20000
100000
200000
110000
140000
50000
-10000
190000
760000

340000
100%
340000
760000

0
0
0

Accounts
Cash
Acc Rec
Inventory
Invesment
Land
Buildings
ACC DEP- BLG
Equipment
ACC DEP - EQ
Patent
Software
Premium
Goodwill
Current Lia
B/P- P
C/S- P
P/C- P
R/E-P
B/P-S
C/S-S
P/C-S
R/E-S
NCI

Parent
DR
CR
20000
300000
410000
1100000
800000
2800000
500000
600000
230000

Sub
DR

CR

DR

Eliminations
CR

50000
120000

NCI
DR

20000
340000 and 760000

100000
300000

100000
200000
100000

140000

110000
50000

10000

140000
50000
10000

60000
150000
300000
95000
3655000
1100000

190000
90000

200000
10000
190000
140000

10000
190000
140000

CR

Balance Sheet
DR
CR