Pop, Inc. acquires 100% of the outstanding shares of Snap Corp. for $3,923,450 and accounts for the transaction using the purchase method. The purchase price Pop paid for Snap exceeded Snap's book value for four reasons:
Information about Pop and Snap's balance sheet at the acquisition date and the current market value of Snap's assets appears below:
Required: Complete the table for Snap's current market values and the consolidated amounts at the date of acquisition.

Question

Pop, Inc. acquires 100% of the outstanding shares of Snap Corp. for $3,923,450 and accounts for the transaction using the purchase method. The purchase price Pop paid for Snap exceeded Snap's book value for four reasons:
  Information about Pop and Snap's balance sheet at the acquisition date and the current market value of Snap's assets appears below:
  Required: Complete the table for Snap's current market values and the consolidated amounts at the date of acquisition.

Quizplus · Accepted Answer

The Answer of Pop, Inc. acquires 100% of the outstanding shares of Snap Corp. for $3,923,450 and accounts for the transaction using the purchase method. The purchase price Pop paid for Snap exceeded Snap's book value for four reasons:
  Information about Pop and Snap's balance sheet at the acquisition date and the current market value of Snap's assets appears below:
  Required: Complete the table for Snap's current market values and the consolidated amounts at the date of acquisition.

Pop, Inc Acquires 100% of the Outstanding Shares of Snap Corp