Following Are Selected Accounts for Green Corporation and Vega Company

question 24

Multiple Choice

Following are selected accounts for Green Corporation and Vega Company as of December 31, 2013. Several of Green's accounts have been omitted. Green acquired 100% of Vega on January 1, 2009, by issuing 10,500 shares of its $10 par value common stock with a fair value of $95 per share. On January 1, 2009, Vega's land was undervalued by $40,000, its buildings were overvalued by $30,000, and equipment was undervalued by $80,000. The buildings have a 20-year life and the equipment has a 10-year life. $50,000 was attributed to an unrecorded trademark with a 16-year remaining life. There was no goodwill associated with this investment. Compute the December 31, 2013, consolidated buildings.

• A) $1,037,500.
• B) $1,007,500.
• C) $1,000,000.
• D) $1,022,500.
• E) $1,012,500.

---

Definitions:

Nunavut Court of Justice

The superior court of the Canadian territory of Nunavut, having general jurisdiction over all legal matters in the territory.

Sentencing Circles

Meetings to suggest sentences in cases involving Aboriginal offenders and victims.

Mental Health Courts

Specialized court docket programs aimed at addressing the needs of defendants with mental health conditions.

Rehabilitation

The process of restoring an individual's abilities or a facility's conditions to a former or improved state.