Help Save & Exit Submi Check my work Giant acquired stock of $170,000 and retained earnings…

Help Save & Exit Submi Check my work Giant acquired stock of $170,000 and retained earnings of $400,000. At the acquisition date, $77,500 of the fair-value price was attributed to undervalued land while $53,000 was assigned to undervalued equipment having a 10-year remaining life. The $69,500 unallocated all of Small’s common stock on January 1, 2014, in exchange for cash of $770,000. On that day, Small reported common portion of the acquisition-date excess fair value over book value was viewed as goodwill. Over the next few years, Giant applied the equity method to the recording of this investment Following are individual financial statements for the year ending December 31, 2018. On that date, Small owes Giant $18,900.Small declared and paid dividends in the same period. Credits are indicated by parentheses. Giant Revenues Cost of goods sold Depreciation expense Equity in income of Smal1 s (1,228,300) (450,500) 555,000 214,00 91,500 174,000 (179,700 Net income Retained earnings, 1/1/18 Net income (above) Dividends declared S (639,000) (185,000) S (1,890,000) (639,000) $ (2,209,000) 1,052,500 (644, 000) 120,000 (709,000) 320,0001200 Retained earnings, 12/31/18 Current assets Investment in Small Land Buildings (net) Equipment (net Goodwil1 746,500 177,000 505,000 329,000 678,000 238,000 500, 000 342,000 s 3,311,000 1,257,000 Total assets Liabilities Common stock Retained earnings (above $ (852,000) (378,000) (170,000) (2.209,000) (709,000) $ (3,311,000) (1,257,000) (250,000) Total liabilities and equities Prex 10 of 13 Next>