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Edit View History Bookmarks Window Help canvas.highline.edu 2 pts D : Question 15 Eastern Star purchased the entire business of South Park for $1850, 000. the following was revealed in the accounting records book value cash 600K AR 1.3M inventory 500K Other assets 250K AP 1.1M Other liabilities 200K FMV 600K 1.3M 770K 325K 1.1M ased -did corre 200K What is the net assets? O 1695000 2995000 1300000 dress Us 12

Solution

Net Assets= Assets - Liabilities

Taking fair value of assets and liabilities

= (600000+1300000+770000+325000)-(1100000+200000)

= 1695000

Hence the answer is 1695000