Thomas Inc

question 99

Essay

Thomas Inc. had the following stockholders' equity accounts as of January 1, 2011:

Kuried Co. acquired all of the voting common stock of Thomas on January 1, 2011, for $20,656,000. The preferred stock remained in the hands of outside parties and had a fair value of $3,060,000. A database valued at $656,000 was recognized and amortized over five years.
During 2011, Thomas reported earning $630,000 in net income and paid $504,000 in total cash dividends. Kuried used the equity method to account for this investment.
Prepare all consolidation entries for 2011.

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Definitions:

Neurons

Specialized cells in the nervous system that transmit information through electrical and chemical signals.

Information Processors

Information processors refer to systems or devices, including the human brain, that receive, handle, and output data or information based on specific algorithms or operations.

Scientific Influence

The impact or effect that scientific research and discoveries have on the development of knowledge, technology, societal norms, and policies.

Limbic System

A complex system of nerves and networks in the brain, involved in instinct and mood control, as well as the processing of emotions and memories.