Following Are Selected Accounts for Green Corporation and Vega Company

question 90

Multiple Choice

Following are selected accounts for Green Corporation and Vega Company as of December 31, 2023. Several of Green's accounts have been omitted. Green acquired 100% of Vega on January 1, 2019, by issuing 10,500 shares of its $10 par value common stock with a fair value of $95 per share. On January 1, 2019, Vega's land was undervalued by $40,000, its buildings were overvalued by $30,000, and equipment was undervalued by $80,000. The buildings have a 20-year life and the equipment has a 10-year life. $50,000 was attributed to an unrecorded trademark with a 16-year remaining life. There was no goodwill associated with this investment.Compute the December 31, 2023 consolidated retained earnings.

• A) $1,645,375.
• B) $1,350,000.
• C) $1,565,375.
• D) $1,840,375.
• E) $1,265,375.

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Definitions:

Belongingness Motivation

The fundamental human need and desire to form and maintain strong, stable interpersonal relationships.

Socially Connected

The feeling or state of being close and interconnected with others, often contributing to a sense of belonging.

Premature Death

Death that occurs before the average age of death in a certain population, often due to disease or external factors.

Mental Health Problems

A broad range of conditions affecting a person's psychological, emotional, or social well-being.