If PROMDI Co., a new company would acquire the net assets of CARDO Co and SYANO Co. PROMDI Co will be issuing 30,000 shares to CARDO and 12,000 shares to SYANO. The following is the balance sheet of PROMDI Co, followed by the fair values and additional unpaid costs incurred by PROMDI in the acquisition:CARDO COMPANY Book ValueFair Value Book ValueFair Value CashP500,000P500,000Accounts PayableP450,000P440,000Accounts Receivable250,000240,000Mortgage Payable200,000 220,000 Inventory155,000200,000Ordinary Shares595,000 -Fixed Assets (Net)600,000 520,000 Retained Earnings260,000- SYANO COMPANY Book ValueFair Value Book ValueFair Value CashP300,000P300,000Accounts PayableP350,000P340,000Accounts Receivable150,000160,000Mortgage Payable200,000220,000 Inventory125,000100,000Ordinary Shares250,000 -Fixed Assets (Net)400,000420,000 Retained Earnings175,000- PROMDI COMPANY Book ValueFair Value Book ValueFair Value CashP1,500,000P1,500,000Accounts PayableP1,450,000P1,440,000Accounts Receivable750,000740,000Mortgage Payable900,000920,000 Inventory355,000340,000Ordinary Shares600,000 -Fixed Assets (Net)1,600,0001,520,000 Retained Earnings1,255,000- PROMDI CARDO SYANO 302825Direct costs 50,00040,000Indirect costs 35,00045,000Stock issue costs 155,00050,000 what is the Goodwill?as well as the amount of the Consolidated Total Assets,Total Liabilities , and total Equity at the date of acquisition?

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Answered: what is the Goodwill?as well as the…

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

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If PROMDI Co., a new company would acquire the net assets of CARDO Co and SYANO Co. PROMDI Co will be issuing 30,000 shares to CARDO and 12,000 shares to SYANO. The following is the balance sheet of PROMDI Co, followed by the fair values and additional unpaid costs incurred by PROMDI in the acquisition:

CARDO COMPANY
	Book Value	Fair Value		Book Value	Fair Value
Cash	P500,000	P500,000	Accounts Payable	P450,000	P440,000
Accounts Receivable	250,000	240,000	Mortgage Payable	200,000	220,000
Inventory	155,000	200,000	Ordinary Shares	595,000	-
Fixed Assets (Net)	600,000	520,000	Retained Earnings	260,000	-

SYANO COMPANY
	Book Value	Fair Value		Book Value	Fair Value
Cash	P300,000	P300,000	Accounts Payable	P350,000	P340,000
Accounts Receivable	150,000	160,000	Mortgage Payable	200,000	220,000
Inventory	125,000	100,000	Ordinary Shares	250,000	-
Fixed Assets (Net)	400,000	420,000	Retained Earnings	175,000	-

PROMDI COMPANY
	Book Value	Fair Value		Book Value	Fair Value
Cash	P1,500,000	P1,500,000	Accounts Payable	P1,450,000	P1,440,000
Accounts Receivable	750,000	740,000	Mortgage Payable	900,000	920,000
Inventory	355,000	340,000	Ordinary Shares	600,000	-
Fixed Assets (Net)	1,600,000	1,520,000	Retained Earnings	1,255,000	-

	PROMDI	CARDO	SYANO
	30	28	25
Direct costs		50,000	40,000
Indirect costs		35,000	45,000
Stock issue costs		155,000	50,000

what is the Goodwill?as well as the amount of the Consolidated Total Assets,Total Liabilities , and total Equity at the date of acquisition?

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