The Following Information Applies to Questions 21-26

question 40

Multiple Choice

The following information applies to Questions 21-26
On December 31, 20X8, X Company acquired controlling ownership of Y Company. A consolidated balance sheet was prepared immediately. Partial balance sheet data for the two companies and the consolidated entity at that date follow:
During 20X8, X Company provided consulting services to Y Company and has not yet paid for them. There were no other receivables or payables between the companies at December 31, 20X8.

-Based on the information given,what was the fair value of Y Company as a whole at the date of acquisition?

• A) $155,000
• B) $110,000
• C) $115,000
• D) $135,000

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Definitions:

Role in a Group

The function or position that an individual holds within a group, which often defines their responsibilities, behaviors, and interactions with other group members.

Task Roles

Specific roles individuals take on within a group to complete tasks or achieve goals, contributing to the overall effectiveness of the group.

Relationship Roles

The patterns of behavior by individuals within their interpersonal relations that define their functions in relationships, such as leadership, support, or advisory roles.

Status Relations

The dynamics and hierarchy within a group based on members' positions, roles, and levels of respect and influence.