CT (85M+5M+2000000) 92,000.

00
LESS: FV-NA 5,800.00
GW 86,200.00

ASSE
GW

30,800.00
5,000.00
1,000.00
3,000.00 TOTAL ASSETS
1,500.00
500.00
1,000.00 =

2,000.00
1,200.00
800.00 TOTAL LIABILITIES
400.00 47,200.00
41,400.00 =

SC =
=

SP =
=
RE =
=

AOCI =
TS =

TSHE =
OPEX ###
SP ###
CASH 12,600,000.00

47,200,000.00
86,200,000.00

SC@PV ###
SP ###
EST. LIABILITY ###
LIABILITIES ###
CASH ###

ACQUIRING + ACQUIRED + GW
BV FMV
150,000,000.00 47,200,000.00 86,200,000.00

185,800,000.00

ACQUIRING + ACQUIRED + CC
BV FMV
11,000,000.00 41,400,000.00 2,000,000.00
54,400,000.00

77,200,000.00 + 50,000.00
77,250,000.00

36,200,000.00 + 4,950,000.00 - 600,000.00

40,550,000.00
 20,800,000.00 - 12,000,000.00
8,800,000.00

5,500,000.00
700,000.00

131,400,000.00
- CASH PAYTS

85,000,000.00
12,600,000.00
CT 1,213,200.00
LESS:FMV- NA 835,740.00
GW 377,460.00

GW 377,460.00 CT
NET ASSETS 835,740.00 LESS:FMV- NA
SC 734,400.00 GAIN ON BP
SP 244,800.00
EST LIABILITY 234,000.00

EST LIABILITY 234,000.00

LOSS 312,000.00
CASH ###

CT 500,000.00
LESS:FV-NA
180,000.00
400,000.00
50,000.00
60,000.00
 70,000.00
20,000.00
- 70,000.00
- 160,000.00 550,000.00
GAIN ON BP 50,000.00

CT 4,800,000.00 OPEX
LESS:FV-NA 3,360,000.00
GW 1,440,000.00

SP

CT 2,240,000.00
LESS: FV-NA 1,720,000.00
GW 520,000.00
CT 2,300,000.00
LESS: FV-NA 1,452,000.00
GW 848,000.00

INVESTMENT IN S
 OPEX 308,640.00
SP 168,600.00
CASH 477,240.00

774,000.00 NET ASSETS 835,740.00

LESS:FMV- NA 835,740.00 SC 405,000.00
GAIN ON BP - 61,740.00 SP 135,000.00
EST LIABILITY 234,000.00
GAIN 61,740.00

TOTAL
EXPENSE 620,640.00
GAIN 61,740.00
NET 558,900.00
 48,000.00
480,000.00
96,000.00
24,000.00 648,000.00
168,000.00
CASH 816,000.00
 315,000.00
190,000.00
125,000.00

INVESTMENT IN S 237,500.00
CASH 237,500.00

CI-80% 237,500.00
NCI-20% 59,375.00
FV OF THE S 296,875.00
PROBLEM 1

CASE 1
INVESTMENT IN S 315,000.00
CASH
EST LIABILTY

OPEX 10,000.00
CASH 10,000.00

CASE 2
INVESTMENT IN S 237,500.00
CASH

CASE 3
INVESTMENT IN S 239,400.00
CASH

CASE 1

CT
LESS: BV OF INTEREST ACUIRED
190,000.00 x 100%
PD
OVER/UNDER
INVENTORY -OVER
BLDG-UNDER
CL
LA
SCC
INPROCESS-R
 GW

CASE 2 FULL GOODWILL/ FAIR VALUE

FV OF THE SUBSIDIARY (237,500/80%)

LESS: BV OF INTEREST ACQUIRED
PD
OVER/UNDER
INVENTORY -OVER
BLDG-UNDER
CL
LA
SCC
INPROCESS-R
GW-FULL

PARTIAL GW/ PROPORTIONATE

FV OF THE SUBSIDIARY (80%)
LESS: BV OF INTEREST ACQUIRED
PD
OVER/UNDER
INVENTORY -OVE 10,000.00 x 80%
BLDG-UNDER - 26,000.00 x 80%
CL - 5,000.00 x 80%
LA - 3,000.00 x 80%
SCC - 2,000.00 x 80%
INPROCESS-R - 5,000.00 x 80%
GW-PARTIAL

GW-NCI
CASE 3 FULL GOODWILL/ FAIR VALUE

CT-60%
FV-NCI-40%
FV OF THE SUBSIDIARY
LESS: BV OF INTEREST ACQUIRED
PD
OVER/UNDER
INVENTORY -OVER
BLDG-UNDER
CL
LA
SCC
INPROCESS-R
GW-FULL

PARTIAL GW/ PROPORTIONATE

FV OF THE SUBSIDIARY (60%)
LESS: BV OF INTEREST ACUIRED
PD
OVER/UNDER
INVENTORY -OVE 10,000.00 x 60%
BLDG-UNDER - 26,000.00 x 60%
CL - 5,000.00 x 60%
LA - 3,000.00 x 60%
SCC - 2,000.00 x 60%
INPROCESS-R - 5,000.00 x 60%
GW-PARTIAL

GW-NCI

CASE 4
INVESTMENT IN 229,500.00
CASH 229,500.00

FULL GOODWILL/ FAIR VALUE

CT
FV-NCI
FV OF THE SUBSIDIARY
LESS: BV OF INTEREST ACQUIRED
PD
OVER/UNDER
INVENTORY -OVER
BLDG-UNDER
CL
LA
SCC
INPROCESS-R
GW-FULL

PARTIAL GW/ PROPORTIONATE

FV OF THE SUBSIDIARY (75%)
LESS: BV OF INTEREST ACUIRED
PD
OVER/UNDER
INVENTORY -OVE 10,000.00 x 75%
BLDG-UNDER - 26,000.00 x 75%
CL - 5,000.00 x 75%
LA - 3,000.00 x 75%
SCC - 2,000.00 x 75%
INPROCESS-R - 5,000.00 x 75%
GW-PARTIAL

GW-NCI
CASE 5
INVESTMENT IN 205,200.00
CASH 205,200.00

FULL GOODWILL/ FAIR VALUE

CT (60%)
FV-15%
NCI-25%
FV OF THE SUBSIDIARY
LESS: BV OF INTEREST ACQUIRED
PD
OVER/UNDER
INVENTORY -OVER
BLDG-UNDER
CL
LA
SCC
INPROCESS-R
GW-FULL

PARTIAL GW/ PROPORTIONATE

FV OF THE SUBSIDIARY (75%)
LESS: BV OF INTEREST ACUIRED
PD
OVER/UNDER
INVENTORY -OVE 10,000.00 x 75%
BLDG-UNDER - 26,000.00 x 75%
CL - 5,000.00 x 75%
LA - 3,000.00 x 75%
SCC - 2,000.00 x 75%
 INPROCESS-R - 5,000.00 x 75%
GW-PARTIAL

GW-NCI

PROBLEM 2

CASE 1
CT 408,000.00
LESS: BV-INTEREST 360,000.00
ALLOCATED EXCESS 48,000.00
OVER/UNDER
INVERTORY - 18,000.00
LAND - 72,000.00
BLDGS 12,000.00
BP 42,000.00
GW 12,000.00

TOTAL ASSETS
PARENT SUBSIDIARY GW
BV FV
CASH 420,000.00 60,000.00
AR 90,000.00 60,000.00
INV 120,000.00 90,000.00
LAND 210,000.00 120,000.00
BLDGS 480,000.00 348,000.00
1,320,000.00 678,000.00 12,000.00
 1,602,000.00

TOTAL LIABILITIES
PARENT SUBSIDIARY CC
BV FV
AP 120,000.00 120,000.00
BP 240,000.00 162,000.00
360,000.00 282,000.00
642,000.00

TSHE
SC 600,000.00
SP 60,000.00
RE 300,000.00
960,000.00

TL&SHE 1,602,000.00

CASE 2
CT 432,000.00
LESS: BV-INTEREST 360,000.00
ALLOCATED EXCESS 72,000.00
OVER/UNDER
INVERTORY - 18,000.00
LAND - 72,000.00
BLDGS 12,000.00
BP 42,000.00
GW 36,000.00
 TOTAL ASSETS
PARENT SUBSIDIARY GW
BV FV
CASH 420,000.00 60,000.00
AR 90,000.00 60,000.00
INV 120,000.00 90,000.00
LAND 210,000.00 120,000.00
BLDGS 480,000.00 348,000.00
1,320,000.00 678,000.00 36,000.00
1,725,600.00

TOTAL LIABILITIES
PARENT SUBSIDIARY CC
BV FV
AP 120,000.00 120,000.00
BP 240,000.00 162,000.00
360,000.00 282,000.00
642,000.00

TSHE
SC 720,000.00
SP 75,600.00
RE 288,000.00
1,083,600.00

TL&SHE 1,725,600.00

CASE 3
PARTIAL GW NCI

CT 360,000.00
LESS: BV INTEREST 288,000.00
ALLOCATED EXCESS 72,000.00
OVER/UNDER
INVERTORY - 14,400.00
LAND - 57,600.00
BLDGS 9,600.00
BP 33,600.00
GW 43,200.00

FULL METHOD NCI

CT 360,000.00
% 80%
FV- SUBSIDIARY 450,000.00
LESS: BV INTEREST 360,000.00
ALLOCATED EXCESS 90,000.00
OVER/UNDER
INVERTORY - 18,000.00
LAND - 72,000.00
BLDGS 12,000.00
BP 42,000.00
GW 54,000.00
 TOTAL ASSETS
PARENT SUBSIDIARY GW
BV FV
CASH 420,000.00 60,000.00
AR 90,000.00 60,000.00
INV 120,000.00 90,000.00
LAND 210,000.00 120,000.00
BLDGS 480,000.00 348,000.00
1,320,000.00 678,000.00 43,200.00
1,666,800.00

TOTAL LIABILITIES
PARENT SUBSIDIARY CC
BV FV
AP 120,000.00 120,000.00
BP 240,000.00 162,000.00
360,000.00 282,000.00
642,000.00

TSHE
SC 600,000.00
SP 60,000.00
RE 285,600.00
NCI 79,200.00
1,024,800.00

TL&SHE 1,666,800.00

CASE 4
CT 432,000.00
LESS: BV-INT 360,000.00
ALLOCATED 72,000.00
GW-EXISTING 6,000.00
TOTAL 78,000.00
OVER/ UNDER
INVERTORY - 18,000.00
LAND - 72,000.00
BLDGS 12,000.00
BP 42,000.00
GW 42,000.00

TOTAL ASSETS
PARENT SUBSIDIARY GW
BV FV
CASH 420,000.00 54,000.00
AR 90,000.00 60,000.00
INV 120,000.00 90,000.00
LAND 210,000.00 120,000.00
BLDGS 480,000.00 348,000.00
1,320,000.00 672,000.00 42,000.00
1,725,600.00

TOTAL LIABILITIES
PARENT SUBSIDIARY CC
BV FV
AP 120,000.00 120,000.00
 BP 240,000.00 162,000.00
360,000.00 282,000.00
642,000.00

TSHE
SC 720,000.00
SP 75,600.00
RE 288,000.00
1,083,600.00

TL&SHE 1,725,600.00

CASE 5

CT 402,000.00
LESS: BV-INT 360,000.00
ALLOCATED 42,000.00

OVER/ UNDER
INVERTORY - 18,000.00
LAND - 72,000.00
BLDGS 12,000.00
BP 42,000.00
GW 6,000.00

TOTAL ASSETS
PARENT SUBSIDIARY GW
BV FV
CASH 420,000.00 60,000.00
AR 90,000.00 60,000.00
INV 120,000.00 90,000.00
LAND 210,000.00 120,000.00
BLDGS 480,000.00 348,000.00
 1,320,000.00 678,000.00 6,000.00
1,596,000.00

TOTAL LIABILITIES
PARENT SUBSIDIARY CC
BV FV
AP 120,000.00 114,000.00
BP 240,000.00 162,000.00
360,000.00 276,000.00
636,000.00

TSHE
SC 600,000.00
SP 60,000.00
RE 300,000.00
960,000.00

TL&SHE 1,596,000.00

PROBLEM 3
PARTIAL
CT 300,000.00
LESS: BV INTEREST 153,600.00
ALLOCATED EXCESS 146,400.00
OVER/UNDER
INV - 4,800.00
LAND - 28,800.00
BLDG - 120,000.00
CR - 48,000.00
EST. LIAB 4,800.00
GAIN ON BP - 50,400.00
 FULL
CT 300,000.00
NCI@FV 90,000.00
FV OF THE SUBSIDIARY 390,000.00
LESS: BV INTEREST 192,000.00
ALLOCATED EXCESS 198,000.00
OVER/UNDER
INV - 6,000.00
LAND - 36,000.00
BLDG - 150,000.00
CR - 60,000.00
EST. LIAB 6,000.00 - 246,000.00
GAIN ON BP - 48,000.00

PROBLEM 4

INTEREST ACQUIRED INV IN S- EE1

SHE - S
1,901,250.00
2,925,000.00
0.65

FULL
CT 2,381,250.00
% 65%
FV OF THE SUBSIDIARY 3,663,461.54
ADD:CTR PREMIUM 82,500.00
FV OF THE SUBSIDIARY 3,745,961.54
LESS: BV INTEREST 2,925,000.00
ALLOCATED EXCESS 820,961.54
OVER/UNDER
INV - 75,000.00
 EQUIP - 375,000.00
PATENT - 73,500.00
GW 297,461.54

PARTIAL
CT 2,463,750.00
LESS: BV INTEREST 1,901,250.00
ALLOCATED EXCESS 562,500.00
OVER/UNDER
INV - 48,750.00
EQUIP - 243,750.00
PATENT - 47,775.00
GW 222,225.00

CT 2,463,750.00

FV OF THE NCI 1,380,000.00

FV OF THE SUBSIDIARY 3,843,750.00

LESS: BV INTEREST 2,925,000.00
ALLOCATED EXCESS 918,750.00
OVER/UNDER
INV - 75,000.00
EQUIP - 375,000.00
PATENT - 73,500.00
GW 395,250.00

PROBLEM 5
1. 140,000.00
2. 60,000.00
3. 550,000.00

CT 576,000.00
LESS:BV - INTEREST 450,000.00
ALLOCATED EXCESS 126,000.00
OVER/ UNDER
INVENTORY - 20,000.00
LAND 10,000.00
BLDGS - 70,000.00
GW 46,000.00

5. ELIMINATED

MCQs
1. CT 315,000.00
LESS: BV INTERE 190,000.00
ALLOCATED EXCE 125,000.00
OVER/UNDER
BLDG - 40,000.00
CL - 22,000.00
R&D - 30,000.00
GW 33,000.00

2. CT 600,000.00
LESS: BV INTERE 270,000.00
ALLOCATED EXCE 330,000.00
OVER/UNDER
INV - 55,000.00
PA - 175,000.00
GW 100,000.00

3.

4. CT 150,000.00
 LESS: BV INTERE 92,000.00
ALLOCATED EXCE 58,000.00
OVER/UNDER
INV - 6,000.00
PA - 30,000.00
5. GW 22,000.00

6. CT 365,000.00
LESS: BV INTERE 280,000.00
ALLOCATED EXCE 85,000.00
OVER/UNDER
INV - 5,000.00
LAND - 10,000.00
BLDG - 50,000.00
GW 70,000.00

9&10
INV IN S 1,500,000.00
SC 100,000.00
SP 1,400,000.00

CT 1,500,000.00
LESS: BV INTERE 1,200,000.00
ALLOCATED EXCE 300,000.00
OVER/UNDER
INV - 100,000.00
LAND - 100,000.00

GW 100,000.00

11-14
CT 300,000.00
LESS: BV INTERE 215,000.00
ALLOCATED EXCE 85,000.00
OVER/UNDER
INV 15,000.00
LAND - 25,000.00
BLDGS - 30,000.00
GW 45,000.00
 300,000.00
15,000.00

237,500.00

239,400.00

315,000.00

190,000.00 OVER UNDER

125,000.00 UNDER OVER

10,000.00 ASSETS LIABILITIES

- 26,000.00 UNDER VALUED DEDUCT ADD
- 5,000.00 OVER VALUED ADD DEDUCT
- 3,000.00
- 2,000.00
- 5,000.00
 94,000.00

NCI
1. BV OF THE ASSETS - NCI
296,875.00 2. SHARE -NCI OVER THE INC AND DEC FAIR VALU
190,000.00 3. GW
106,875.00

10,000.00
- 26,000.00
- 5,000.00
- 3,000.00
- 2,000.00
- 5,000.00 - 31,000.00
75,875.00

237,500.00 NCI
152,000.00 1. BV OF THE ASSETS - NCI
85,500.00 2. SHARE -NCI OVER THE INC AND DEC FAIR VALU

8,000.00
- 20,800.00
- 4,000.00
- 2,400.00
- 1,600.00
- 4,000.00
60,700.00

15,175.00
 239,400.00 76,000.00
152,000.00 12,400.00
391,400.00 63,600.00
190,000.00 152,000.00
201,400.00

10,000.00
- 26,000.00
- 5,000.00
- 3,000.00
- 2,000.00
- 5,000.00
170,400.00

239,400.00 76,000.00
114,000.00 12,400.00
125,400.00 88,400.00

6,000.00
- 15,600.00
- 3,000.00
- 1,800.00
- 1,200.00
- 3,000.00
106,800.00

63,600.00
 322,525.00
190,000.00
132,525.00

10,000.00
- 26,000.00
- 5,000.00
- 3,000.00
- 2,000.00
- 5,000.00
101,525.00

229,500.00
142,500.00
87,000.00

7,500.00
- 19,500.00
- 3,750.00
- 2,250.00
- 1,500.00
- 3,750.00
63,750.00

37,775.00
 205,200.00 342,000.00
51,300.00
85,500.00
342,000.00
190,000.00
152,000.00

10,000.00 114,000.00
- 26,000.00
- 5,000.00
- 3,000.00
- 2,000.00
- 5,000.00
121,000.00

229,500.00
142,500.00
87,000.00

7,500.00
- 19,500.00
- 3,750.00
- 2,250.00
- 1,500.00
- 3,750.00
63,750.00

57,250.00

INVESTMENT IN SUBSIDIARY 408,000.00

CASH ###

EE:
SC 240,000.00
SP 24,000.00
RE 96,000.00
INVESTMENT IN 360,000.00

INVENTORY 18,000.00
LAND 72,000.00
GW 12,000.00
BLDGS 12,000.00
BP 42,000.00
INVESTMENT IN 48,000.00

PAYTS

- 408,000.00
INV IN S 432,000.00 OPEX
CASH 288,000.00
SC-PV 120,000.00
SP 24,000.00 SP

EE:
SC 240,000.00
SP 24,000.00
RE 96,000.00
INVESTMENT IN SUBS 360,000.00

INVENTORY 18,000.00
LAND 72,000.00
GW 36,000.00
BLDGS 12,000.00
 BP 42,000.00
INVESTMENT IN SUBS 72,000.00

PAYTS

- 308,400.00

= SHARE - BV NET ASSE + SHARE (BV-FV)

72,000.00 7,200.00
INV IN S 360,000.00
 CASH 360,000.00

OPEX 14,400.00
CASH 14,400.00

= SHARE - BV NET ASSE + SHARE (BV-FV)+

72,000.00 7,200.00

10,800.00
PARTIAL
EE
SC 240,000.00
SP 24,000.00
RE 96,000.00
INVESTMENT IN SUBSIDIARY 288,000.00
NCI 72,000.00

INVENTORY 18,000.00
LAND 72,000.00
GW 43,200.00
BLDGS 12,000.00
BP 42,000.00
INVESTMENT IN SUBSIDIARY 72,000.00
NCI 7,200.00
FULL GW
EE
SC 240,000.00
SP 24,000.00
 RE 96,000.00
INVESTMENT IN SUBSIDIARY 288,000.00
NCI 72,000.00

INVENTORY 18,000.00
LAND 72,000.00
GW 54,000.00
BLDGS 12,000.00
BP 42,000.00
INVESTMENT IN SUBSIDIARY 72,000.00
NCI 18,000.00

PAYTS

- 374,400.00
INV IN S 432,000.00
CASH 288,000.00
SC 120,000.00
SP 24,000.00

PAYTS

- 308,400.00
INV IN S 402,000.00
DIV REC'BLE 6,000.00
CASH 408,000.00

EE
SC 240,000.00
SP 24,000.00
RE 96,000.00
INV IN S 360,000.00

INVERTORY 18,000.00
LAND 72,000.00
PAYTS GW 6,000.00
BLDGS 12,000.00
BP 42,000.00
INV IN S 42,000.00

DIVIDENDS PAY 6,000.00

- 408,000.00 DIVIDENDS REC'B 6,000.00

INV IN S 300,000.00
SC 12,000.00
SP 288,000.00
SC 12,000.00
SP 108,000.00
RE 72,000.00
INV IN SUBSIDARY 153,600.00
NCI 38,400.00

INV 6,000.00 146,400.00

LAND 36,000.00
BLDG 150,000.00
CR 60,000.00
EST. LIAB 6,000.00
RE-GAIN 50,400.00
INV IN SUBSIDARY 146,400.00
NCI 49,200.00
-
173,025.00 -
INV IN S 600,000.00
CASH 600,000.00

SC 15,000.00
RE 255,000.00
INV IN S 270,000.00

INV 55,000.00
PA 175,000.00
GW 100,000.00
INV IN S 330,000.00
 38,000.00
D DEC FAIR VALUES 6,200.00
15,175.00
59,375.00

38,000.00
D DEC FAIR VALUES 6,200.00
44,200.00
 12,000.00
CASH 12,000.00

8,400.00
CASH 8,400.00
79,200.00
GW
10,800.00 90,000.00
-
#VALUE!
49,200.00