Q1) Incomplete Data with Purchase Differential Kasper Corporation acquired controlling interest over Timmin Company on January 1, 20X7, and consolidated balance was prepared. Partial balance sheet data for Kasper, Timmin, and consolidated entry follow:
KASPER CORPORATION AND TIMMIN COMPANY
Partial Balance Sheet Data
January 1, 20X7
|
Item
|
Kasper Corporation
|
Timmin Company
|
Consolidated Entity
|
Cash and Accounts Receivable
|
$180,000
|
$60,000
|
$ 240,000
|
Inventory
|
200,000
|
100,000
|
328,000
|
Land
|
100,000
|
50,000
|
167,000
|
Buildings and Equipment (net)
|
400,000
|
150,000
|
588,000
|
Investment in Timmin Stock
|
?
|
|
|
Total
|
?
|
$360,000
|
$ 1,323,000
|
Accounts Payable
|
70,000
|
400,000
|
110,000
|
Bonds Payable
|
300,000
|
|
300,000
|
Common Stock
|
?
|
150,000
|
250,000
|
Retained Earnings
|
567,000
|
170,000
|
?
|
No controlling Interest
|
|
|
96,000
|
Total
|
?
|
360,000
|
1,323,000
|
Fair value of Timmin's land was $80,000, and fair value of its buildings and equipment was $220,000 at date of acquisition.