Homework answers / question archive / Assume that the following statements of financial position are stated and a book value

Assume that the following statements of financial position are stated and a book value

Finance

Share With

Assume that the following statements of financial position are stated and a book value. Construct a post-merger statement of financial position assuming that Amherst Co. purchases Essex Inc. and the pooling of interests method of accounting is used. Amherst Co. Current assets $22,000 Current liabilities $9,300 Net fixed assets 56,000 Long-term debt 19,800 Equity 48,900 Total $78,000 Total $78,000

Essex Inc. Current assets $6,400 Current liabilities $3,800 Net fixed assets 9,800 Long-term debt 3,100 Equity 9,300 Total $16,200 Total $16,200