Compute consolidated long-term liabilities at thedate of the acquisition

A)  $2,600.

B)  $2,700.

C)  $2,800.

D)  $3,720.

E)  $3,820.

Answer: E

Learning Objective: 02-05

Learning Objective: 02-06a

Learning Objective: 02-07

Topic: Acquisition―Allocate fair value

Topic: Acquisition―Calculate consolidated balances

Topic: Consolidation worksheet

Difficulty: 2 Medium

Blooms: Apply

AACSB: Knowledge Application

AICPA: BB Critical Thinking

AICPA: FN Measurement

Feedback: Atwood Acquisition DateLong-Term Liabilities ($2,700 book value) + Franz Acquisition Date Long-Term Liabilities at Fair Value($1,120) = $3,820