Use the Following Information to Answer Questions
Polish Company

question 22

Multiple Choice

Use the following information to answer Questions
Polish Company acquired 90% of Sandwich Company's common stock for $780,000 and 40% of its preferred stock for $180,000.On January 1, 2013, the date of acquisition, the companies reported the following account balances: $\begin{array}{lrr}&\text { Polish Company }& \text { Sandwich Company } \\\text { Preferred stock, } \$ 100 \text { par value } & \$ 500,000 & 360,000 \\\text { Common stock, } \$ 10 \text { par value } & 1,200,000 & 600,000 \\\text { Other contributed capital } & 190,000 & 140,000 \\\text { Retained eamings } & 210,000 & 110,000 \\\text { Total stockholders' equity } & \$ 2,100,000 & \$ 1,200,000\end{array}$ The preferred stock is 10%, cumulative, nonparticipating, and has a liquidation value equal to 104% of par value.Dividends were not paid during 2012.During 2013, Sandwich Company reported net income of $120,000 and declared and paid cash dividends in the amount of $70,000.
-The difference between the implied value of the preferred stock and its book value is

• A)$40,000.
• B)$39,600.
• C)$34,400.
• D)$26,000.
• E)15,840.

Understand the basic principles of Freud’s psychoanalytic theory.

Identify the three levels of the mind according to Freud.

Differentiate between the id, ego, and superego.

Describe the role of the unconscious mind in human behavior and personality.

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Definitions:

Instrument

A formal legal document that evidences an agreement, right, or obligation.

Authorized Representative

An individual who has been formally empowered to act on behalf of another person or organization.

Negotiated

The process through which parties discuss and reach a mutual agreement on the terms of a deal or contract.

Organization

A group of people with a particular purpose, such as a business or government department, organized for collective action.