REFERENCE: Ref.02_06 The Financial Balances for the Atwood Company and the Franz

question 94

Multiple Choice

REFERENCE: Ref.02_06
The financial balances for the Atwood Company and the Franz Company as of December 31,20X1,are presented below.Also included are the fair values for Franz Company's net assets.
Note: Parenthesis indicate a credit balance
Assume a business combination took place at December 31,20X1.Atwood issued 50 shares of its common stock with a fair value of $35 per share for all of the outstanding common shares of Franz.Stock issuance costs of $15 (in thousands) and direct costs of $10 (in thousands) were paid.
-Assuming the combination is accounted for as a purchase,compute consolidated expenses at the date of the combination.

• A)$2,760.
• B)$3,380.
• C)$2,770.
• D)$2,735.
• E)$2,785.

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Definitions:

GDP

Gross Domestic Product; a measure of the economic production and growth of a country, representing the total value of all goods and services produced over a specific time period.

Regulatory Protein

Proteins that play crucial roles in controlling gene expression and mediating cellular activities.

G Protein

A class of proteins that act as molecular switches inside cells, involved in transmitting signals from various stimuli outside a cell to its interior.

Receptor Molecules

Proteins located on the cell surface or within cells that bind specific substances, triggering a biological response.