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Balance Sheet Information for Sphinx Company at January 1,2013,is Summarized

Question 15

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Balance sheet information for Sphinx Company at January 1,2013,is summarized as follows: Balance sheet information for Sphinx Company at January 1,2013,is summarized as follows: Sphinx's assets and liabilities are fairly valued except for plant assets that are undervalued by $50,000.On January 2,2013,Pyramid Corporation issues 20,000 shares of its $10 par value common stock for all of Sphinx's net assets and Sphinx is dissolved.Market quotations for the two stocks on this date are: Pyramid pays the following fees and costs in connection with the combination: Required: 1.Calculate Pyramid's investment cost of Sphinx Corporation. 2.Calculate any goodwill from the business combination.
Sphinx's assets and liabilities are fairly valued except for plant assets that are undervalued by $50,000.On January 2,2013,Pyramid Corporation issues 20,000 shares of its $10 par value common stock for all of Sphinx's net assets and Sphinx is dissolved.Market quotations for the two stocks on this date are: Balance sheet information for Sphinx Company at January 1,2013,is summarized as follows: Sphinx's assets and liabilities are fairly valued except for plant assets that are undervalued by $50,000.On January 2,2013,Pyramid Corporation issues 20,000 shares of its $10 par value common stock for all of Sphinx's net assets and Sphinx is dissolved.Market quotations for the two stocks on this date are: Pyramid pays the following fees and costs in connection with the combination: Required: 1.Calculate Pyramid's investment cost of Sphinx Corporation. 2.Calculate any goodwill from the business combination.
Pyramid pays the following fees and costs in connection with the combination: Balance sheet information for Sphinx Company at January 1,2013,is summarized as follows: Sphinx's assets and liabilities are fairly valued except for plant assets that are undervalued by $50,000.On January 2,2013,Pyramid Corporation issues 20,000 shares of its $10 par value common stock for all of Sphinx's net assets and Sphinx is dissolved.Market quotations for the two stocks on this date are: Pyramid pays the following fees and costs in connection with the combination: Required: 1.Calculate Pyramid's investment cost of Sphinx Corporation. 2.Calculate any goodwill from the business combination.
Required:
1.Calculate Pyramid's investment cost of Sphinx Corporation.
2.Calculate any goodwill from the business combination.

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