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On January 1,2012,Remkus Company Acquired All of the Stock of a Subsidiary.The

Question 69

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On January 1,2012,Remkus Company acquired all of the stock of a subsidiary.The following data is available:
Remkus Company Subsidiary  Total assets $650$400 Total liabilities $200$190 Total stockholders’ equity $450$210\begin{array}{lll}& \text {Remkus Company} & \text { Subsidiary } \\\text { Total assets } & \$ 650 & \$ 400 \\\text { Total liabilities } & \$ 200 & \$ 190 \\\text { Total stockholders' equity }& \$ 450 & \$ 210\end{array}
The acquisition by Remkus Company represents a 100 percent interest in the subsidiary.On January 1,2012,the fair value of the subsidiary's assets and liabilities are equal to the book value.Remkus Company paid $250 for the 100 percent interest in the subsidiary.On January 1,2012,what is the total stockholders' equity on the consolidated balance sheet? (Assume elimination entries are completed.)


A) $390
B) $450
C) $800
D) $840

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