On January 1,2012,Remkus Company Acquired All of the Stock of a Subsidiary.The

question 33

Multiple Choice

On January 1,2012,Remkus Company acquired all of the stock of a subsidiary.The following data is available:
$\begin{array}{lll}& \text {Remkus Company} & \text { Subsidiary } \\\text { Total assets } & \$ 650 & \$ 400 \\\text { Total liabilities } & \$ 200 & \$ 190 \\\text { Total stockholders' equity }& \$ 450 & \$ 210\end{array}$
The acquisition by Remkus Company represents a 100 percent interest in the subsidiary.On January 1,2012,the fair value of the subsidiary's assets and liabilities are equal to the book value.Remkus Company paid $250 for the 100 percent interest in the subsidiary.On January 1,2012,what is the total stockholders' equity on the consolidated balance sheet? (Assume elimination entries are completed.)

• A) $390
• B) $450
• C) $800
• D) $840

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Definitions:

Obsessive-Compulsive Personality Disorder

A condition characterized by a chronic preoccupation with rules, orderliness, and control.

Borderline Personality Disorder

An ailment of psychological health manifested through shifting moods, behavior patterns, and relational ties.

Dependent Personality Disorder

A personality disorder characterized by a pattern of clinging and obedience, fear of separation, and an ongoing need to be taken care of.

Dependent Personality Disorder

A psychiatric condition characterized by an excessive need to be taken care of, leading to submissive and clinging behavior and fears of separation.