Following Are Selected Accounts for Green Corporation and Vega Company

question 50

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 book value of Vega at January 1, 2019.

• A)$997,500.
• B)$857,500.
• C)$1,200,000.
• D)$1,600,000.
• E)$827,500.

---

Definitions:

Comprehensive Interview

An extensive and detailed interview process aimed at gathering a wide range of information, often used in research, clinical assessments, or job application processes.

Assessment Data

Information gathered through evaluation processes used to make informed decisions regarding patient care.

Critical-Thinking Model

A framework designed to promote reflective thinking or reasoned thought processes to solve problems or make decisions.

Pathophysiology

The study of the functional changes that occur in the body as a result of an injury, disorder, or disease.