Task: Pacific has the following account balances as of Feb 1.
Inventory....................................$600,000
Land..........................................500,000
Buildings (net) (valued at $1,000,000)........900,000
Common Stock ($10 par value)..................(800,000)
Retained earnings 1/1.........................(1,100,000)
Revenues......................................(600,000)
Expences......................................500,000
Western pays $2,020,000 in cash. An additional $20,000 is paid in direct combination costs. For each of the following accounts, determine what balance will be included in a Feb 1 consolidation.
a) Inventory
b) Goodwill
c) Expenses
d) Buildings
e) Land