On January 2, 2018, LVMH, Inc. acquired Tiffany as a wholly-owned subsidiary, paying $1,341,500. The purchase price was $800,000 in excess of the book value of Tiffany’s net assets. Part of the excess was attributable to a building with a 7-year life undervalued by $350,000. The rest was goodwill. On the acquisition date, Tiffany’s reported retained earnings equal to $385,000. LVMH uses the cost method of pre- consolidation Equity investment bookkeeping. The 2020 financial statements for the two companies are presented below. LVMH, Inc. $1,875,000 -658,000 1,217,000 -325,000 25,000 $917,000
Retained Earnings, 1/1/20
Net income
Dividends -75,000 Retained Earnings, 12/31/20 $3,158,500
Cash and receivables $492,840 Inventory 785,000
Tiffany $781,000 -451,000 330,000 -129,000 0 $201,000
$475,500 201,000 -25,000 $651,500
$540,200 513,600
346,500 $1,400,300
$157,800 365,000 69,500 70,000 86,500 651,500 $1,400,300
Sales revenue
Cost of goods sold Gross profit Operating expenses Dividend income Net Income
$2,316,500 917,000
Equity investment
Property, plant & equipment (Net)
Total Assets
Accounts payable
Accrued liabilities
Notes payable
Common stock
Additional paid-in capital Retained Earnings, 12/31/20 Total Liabilities and Equities
1,341,500
3,852,000 $6,471,340
$408,000 498,340 478,500 350,000
1,578,000
3,158,500 $6,471,340

A. At what amount will the following accounts appear on the consolidated financial statements for 2020?
a. Dividend Income
b. Operating Expenses
c. Equity Investment
d. Property, Plant and Equipment (net of accumulated depreciation) e. Goodwill
f. Retained Earnings
B. Assume LVMH also offers Tiffany employees an extra $5,000,000 if they achieve certain profit goals in the first three years after the merger. The fair value of this consideration is $750,000, and the expected payout is $2,500,000. Does this additional consideration affect the purchase price or consolidated amounts? If so, how?

Corey is trying to save money to buy a new tv. he invests $800 into an account paying 6.5% simple interest. for how long must he save if the tv costs $950? a. 2 years b. 3 years c. 4 years d. 5 years

When selecting stock, some financial experts recommend to look at the opening price go with what you know examine the day’s range, earnings per share, and p/e ratio divide the dividend by the asking price

Gino's restaurant is a popular restaurant in boston, massachusetts. the owner of the restaurant has been trying to better understand costs at the restaurant and has hired a student intern to conduct an activity-based costing study. the intern, in consultation with the owner, identified the following major activities: activity cost pool activity measure serving a party of diners number of parties served serving a diner number of diners served serving drinks number of drinks ordered some costs, such as the cost of cleaning the linens that cover the restaurant's tables, vary with the number of parties served. other costs, such as washing plates and glasses, depends on the number of diners served or the number of drinks served. data concerning these activities are shown below. serving a party serving a dinner serving drinks total total cost $47,600 $153,000 $59,800 $260,400 total activity 7,000 parties 30,000 diners 46,000 drinks prior to the activity-based costing study, the owner knew very little about the costs of the restaurant. she knew that the total cost for the month was $260,400 and that 30,000 diners had been served. therefore, the average cost per diner was $8.68.required: 1. compute the activity rates for each of the three activities 2. according to the activity-based costing system, what is the total cost of serving each of the following parties of diners? a. a party of four diners who ordered three drinks in total b. a party of two diners who do not order any drinks c. a lone diner who orders two drinks 3. convert the total costs you computed in part (1) above to costs per diner. in other words, what is the average cost per diner for serving each of the following parties: a. a party of four diners who order three drinks in total b. a party of two diner who do not order any drinks c. a lone diner who orders two drinks 4. why do the costs per diner for the three different parties differ from each other and from the overall average coast of $9.80 per diner?