Advanced Financial Accounting
arwa 1
ACCT3021stAssignmentQuestions.docxSaudi Electronic University
College of Administrative and Financial Sciences
Department of Accounting
|
Course Title |
Advanced Financial Accounting |
Course Code
|
ACCT 302 |
|
Assignment No. |
1 |
Due Date |
Feb, 2nd 2019 |
|
CRN: |
Student name:
|
Student ID |
|
Academic Year 1439 -1440H |
Semester: Second |
Student grade: |
Important Instructions:
· Please fill your Name, ID and Section (CRN) at the place provided below
· Maximum marks of each assignment is 10. Marks of each question is provided with the question.
· Rename the file of your assignment as [ACCT 302 39-40-2nd-CRN-Your Name]
· Assignments should be submitted in MS Word format
· Font should be Times New Roman with 14 points.
· You are required to work in this assignment individually.
· You should submit the assignment via the Blackboard.
· Students who submit assignments after deadline, will get ZERO.
· If you engaged in plagiarism, you will get ZERO marks in the assignment or course
· Attempt all the questions.
· Do not write off questions when answering them.
Q1. Explain the term Acquisition and investments in intercorporate Entities.
Q2. X Inc. acquired 100% of the outstanding common stock of Y Inc. for $250,000 cash and 20,000 shares of its own common stock ($5 par value), which was trading at $10 per share at the acquisition date. The estimated fair market values of assets, liabilities, and equity accounts of Y. Inc are as follows:
|
Accounts Receivable $ 100,000 Inventory 50,000 LT Marketable sec. 60,000 PP&E 140,000 Total Assets $350,000 |
Liabilities $200,000 Retained Earnings 50,000 Common Stock 100,000
Total Liab/Equity $ 350,000
|
Require:
1. Calculate Acquisition cost of X.Inc
2. Calculate Good will of X.Inc
3. Pass journal entry in books of X. Inc
Q3. SALMAN Company acquires 60 percent of HAMAD Company’s common stock for $200,000 at the beginning of the year and gains significant influence over HAMAD. During the year, HAMAD has net income of $40,000 and pays dividends of $30,000.
Required: prepare the journal entries in books of SALMAN company under the Equity and Cost Method
Q4. From the Given information Calculate the Book Value and pass Basic Elimination entry :
1. PQR Ltd owns 100% of STV Ltd.
2. STV Ltd ’s net income for 20X4 is SAR 250,000
3. STV Ltd’s declares dividends of SAR 36,000 during 20X4.
4. STV Ltd has 20,000 shares of $5 par stock outstanding that were originally issued at $15 per share.
5. STV Ltd’s beginning balance in Retained Earnings for 20X4 is SAR 150,000
Q5. How are direct combination costs, contingent consideration, and a bargain purchase reflected in recording an acquisition transaction?
Saudi Electronic University
College of Administrative and Financial Sciences
Department of Accounting
Course Title
Advanced Financial
Accounting
Course Code
ACCT 302
Assignment No.
1
Due Date
Feb, 2
nd
2019
Important Instructions:
§
Please fill your Name, ID and Section (CRN) at the place provided below
§
Maximum marks of each assignment is 10. Marks of each question is provided with the
question.
§
Rename the file of your assignment as
[ACCT 30
2
39
-
40
-
2nd
-
CRN
-
Your Name]
§
Assignments should be submitted in
MS Word format
§
Font should be
Times New Roman with 14 points.
§
You are required to work in this assignment
individually.
§
You should
submit
the assign
ment via the
Blackboard.
§
Students who submit assignments after deadline, will get ZERO.
§
If you engaged in plagiarism, you
will get ZERO marks in the assignment or course
§
Attempt all the questions.
§
Do not write off questions when answering them.
CRN:
Student name:
Student ID
Academic
Year
1439
-
1440H
Semester: Second
Student grade
:
Saudi Electronic University
College of Administrative and Financial Sciences
Department of Accounting
Course Title Advanced Financial
Accounting
Course Code
ACCT 302
Assignment No. 1 Due Date Feb, 2
nd
2019
Important Instructions:
Please fill your Name, ID and Section (CRN) at the place provided below
Maximum marks of each assignment is 10. Marks of each question is provided with the
question.
Rename the file of your assignment as [ACCT 302 39-40-2nd-CRN-Your Name]
Assignments should be submitted in MS Word format
Font should be Times New Roman with 14 points.
You are required to work in this assignment individually.
You should submit the assignment via the Blackboard.
Students who submit assignments after deadline, will get ZERO.
If you engaged in plagiarism, you will get ZERO marks in the assignment or course
Attempt all the questions.
Do not write off questions when answering them.
CRN: Student name:
Student ID
Academic Year
1439 -1440H
Semester: Second Student grade:
