Using the data given in Problem 2-1, assume that Roland Company exchanged 14,000 of its $45 fair value ($1 par value) shares for 16,000 of the outstanding shares of Downes Company.The following fair...

Using the data given in Problem 2-1, assume that Roland Company exchanged 14,000 of its $45 fair value ($1 par value) shares for 16,000 of the outstanding shares of Downes Company. The following fair values applied to Downes’s assets: Other current assets………………………..$ 70,000 Inventory…………………………………….80,000 Land…………………………………………90,000 Building……………………………………150,000 Equipment…………………………………100,000 Required 1. Record the investment in Downes Company and any other purchase-related entry. 2. Prepare the value analysis schedule and the determination and distribution of excess schedule. 3. Prepare a consolidated balance sheet for July 1, 2016, immediately subsequent to the purchase. View Solution:

Using the data given in Problem 2 1 assume that Roland