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Perch Co Acquired 80% of the Common Stock of Float Corp

question 70

Multiple Choice

Perch Co. acquired 80% of the common stock of Float Corp. for $1,600,000. The fair value of Float's net assets was $1,850,000, and the book value was $1,500,000. The non-controlling interest shares of Float Corp. are not actively traded.
What is the dollar amount of non-controlling interest that should appear in a consolidated balance sheet prepared at the date of acquisition?

Understand the role of prices in markets as signals that coordinate buyers' and sellers' decisions.

Recognize the difference between the law of demand and the concept of cost in production.

Identify factors leading to changes in supply and demand, including government interventions like taxes and subsidies.

Understand market efficiency, including allocative and productive efficiencies, and the conditions under which they are achieved.

Definitions:

Social Change

Refers to the transformation over time of societal norms, values, and patterns of behavior.

Social Structures

Social structures are the complex framework of societal institutions (such as the economy, politics, and religion) and the social practices (rules, roles, and relationships) that make up a society.

Structural Functionalism

Describes a perspective in sociology where society is viewed as a complex structure, with its various segments working in unison to uphold solidarity and ensure overall stability.

Stability of Society

The condition in which a society maintains its structure and functions without significant disruption or change over time.