REFERENCE: Ref.02_03 the Financial Statements for Goodwin,Inc. ,And Corr Company for the for the Year

question 112

Multiple Choice

REFERENCE: Ref.02_03
The financial statements for Goodwin,Inc. ,and Corr Company for the year ended December 31,20X1,prior to Goodwin's business combination transaction regarding Corr,follow (in thousands) : On December 31,20X1,Goodwin issued $600 in debt and 30 shares of its $10 par value common stock to the owners of Corr to purchase all of the outstanding shares of that company.Goodwin shares had a fair value of $40 per share.
Goodwin paid $25 to a broker for arranging the transaction.Goodwin paid $35 in stock issuance costs.Corr's equipment was actually worth $1,400 but its buildings were only valued at $560.
-Assuming the combination is accounted for as an acquisition,compute the consolidated expenses for 20X1.

• A)$1,980.
• B)$2,380.
• C)$2,040.
• D)$2,015.
• E)$2,005.

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Definitions:

Statute of Frauds

A legal principle that requires certain types of contracts to be executed in writing and signed by the party to be charged, to be enforceable.

Lease Term

The duration of a lease agreement, specifying the start and end dates of the tenancy.

Tenancy at Sufferance

A situation where a tenant continues to occupy the property after the lease term has ended, without the express permission of the landlord.

Holdover Tenant

A tenant who continues to occupy property after the expiration of their lease, without the landlord's express permission.