Tosua — Agustinor 2018310852 Compuratvons “Investment cost oF 40% interest Cook value _acauired ($s00.000 + (s100.000 * Za vweor)] 40% 320-000 Excess cost over book value $160.00 : ws : _ ee Excess _aocated land $30,000 xa0% Equipment _$50.000 * 40% Remainder tO goodwit 4 _—eott ove wvestment wo 380.000 Sh oe ~~ 380.000 - 7 wo cecord initiat investment For 40% Interest infil November aalt : 7 ani cash _lother receivables) 20.000 Unvestment we gill "20-000, To rewrd cewitt OF divdords __ ($60 000 aot) deember 31,200 Investment — in silt if io 20-000 income From. Til 30-000 suis To veotd share oF SWS “{4100.000 xfeene xaoh) December 3, aol (nome — From gil) 7.000 \nvestmont i jill 2000 To cpcord —freciation on excets quoted +p Undervalued equipment ($20.000 /5 years x Yo years) Scanned with CamScannerPree oF faa For Ticia’s hares lavestment in lisa shorts x $24) The £80000 dgct cows must be. #960000 The -dect COstS oF issuing share OF stock reduce paditvoray pad -1n capital } = rok —vaiue —acnured CY 3.000.600 —ngp _ Excess COS over Wook vawe ree _# We " =o 5 Ee quocation {200-000 oe £ $0,000 400 900 160.000 = 5521400, paper 407 (160-000) _Eavitment ant - 0 aD {aeons 80.00 a Assigngd t0 identiriabie net assets 160.000 = Remainder assigned to 0 ta anoenied einai q100000 2) market price of dle for Tricl® chores q 7 St oF Investment noe - (40.000 shares x Sib) other dwect costs ae to "£640 000 Bok vate Acquired (a-000-000 ppt aset x 40%) $ 300.000 c excess hook YalU0 over cork. “| (160.000) excess auccated #0 ‘Fair value ‘Percent a - — ok vatue, Required Alaation oe Unventor ves $200 000 40% $ 80.000, land : 400-000 \b0 -00D ~ Buitdings — ner (400 000) — Equipment —net "200.000 Bargain ~ purchase gain - Scanned with CamScanner