hi i need with this questions with the 3 question Adams, Inc., acquires Clay Corporation on January 1, 2020, in exchange for $732,300 cash. Immediately after the acquisition, the two companies have the following account balances. Clay’s equipment (with a five-year remaining life) is actually worth $604,900. Credit balances are indicated by parentheses. Adams Clay Current assets $ 326,000 $ 290,000 Investment in Clay 732,300 0 Equipment 781,900 526,000 Liabilities (280,000 ) (170,000 ) Common stock (350,000 ) (150,000 ) Retained earnings, 1/1/20 (1,210,200 ) (496,000 ) In 2020, Clay earns a net income of $62,700 and declares and pays a $5,000 cash dividend. In 2020, Adams reports net income from its own operations (exclusive of any income from Clay) of $193,000 and declares no dividends. At the end of 2021, selected account balances for the two companies are as follows: Adams Clay Revenues $ (452,000 ) $ (272,000 ) Expenses 327,700 204,000 Investment income Not given 0 Retained earnings, 1/1/21 Not given (553,700 ) Dividends declared 0 8,000 Common stock (350,000 ) (150,000 ) Current assets 651,000 342,800 Investment in Clay Not given 0 Equipment 701,900 574,900 Liabilities (208,900 ) (130,700 ) are the December 31, 2021, Investment Income and Investment in Clay account balances assuming Adams uses the: Equity method. Initial value method. is the amount of Consolidated Expenses in its December 31, 2021, consolidated income statement under each of the following methods? is the amount of Consolidated Equipment in its December 31, 2021, consolidated balance sheet under each of the following methods? is Adams’s January 1, 2021, Retained Earnings account balance assuming Adams accounts for its investment in Clay using the: Equity value method. Initial value method.
https://cheapessay.us/wp-content/uploads/2021/08/whatsapp-logo-300x115.jpeg 0 0 Cheap essay https://cheapessay.us/wp-content/uploads/2021/08/whatsapp-logo-300x115.jpeg Cheap essay2019-05-25 14:35:232019-05-25 14:35:23hi i need with this questions with the 3 question Adams, Inc., acquires Clay Corporation on January 1, 2020, in exchange for $732,300 cash. Immediately after the acquisition, the two