Outstanding voting stock of belwood company


Atwater company acquire 80 percent of the outstanding voting stock of belwood company. On that date, belwood possesses a building with 160,000 book value but 220,000 fair value. Assuming that a bargin purchase has not been made, at what value would this building be consolidated under each of the following.

A. Acquistion method

B. Purchase method

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Accounting Basics: Outstanding voting stock of belwood company
Reference No:- TGS050699

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