Pull Incorporated and Shove Company Reported Summarized Balance Sheets as Shown

Essay

Pull Incorporated and Shove Company reported summarized balance sheets as shown below, on December 31, 2011.
On January 1, 2012, Pull purchased 70% of the outstanding capital stock of Shove for $392,000, of which $92,000 was paid in cash, and $300,000 was borrowed from their bank.The debt is to be repaid in 10 annual installments beginning on December 31, 2012, with each payment consisting of $30,000 principal, plus accrued interest.
The excess fair value of Shove Company over the underlying book value is allocated to inventory (60 percent)and to goodwill (40 percent).
Required: Calculate the balance in each of the following accounts, on the consolidated balance sheet, immediately following the acquisition.
a.Current assets
b.Noncurrent assets
c.Current liabilities
d.Long-term debt
e.Stockholders' equity