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Business, 24.01.2020 02:31 rosemarybooker

Planter corporation used debentures with a par value of $566,000 to acquire 100 percent of sorden company's net assets on january 1, 20x2. on that date, the fair value of the bonds issued by planter was $550,000. the following balance sheet data were reported by sorden:
balance sheet item historical cost fair value
assets
cash & receivables $59, 000 $53, 000
inventoy 101, 000 203, 000
plant & equipment 413,000 310,000
less: accunulat ed depreciation (168,000)
goodwill 13,000
total assets $480, 000 $675, 000
liabilities and equities
accounts payable $47,000 $47,000
common stock 89,000
additional paid-in capital 60, 000
retained eamings 284, 000
total liabilities& equities $ 480,000
required:
1. determine the amount planter corporation would record as a gain on bargain purchase and prepare the journal entry planter would record at the time of the exchange. (if no entry is required for a transaction/event, select "no journal entry required" in the first account field.)

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