ACC 401 Advanced AccountingFall 2019PROJECT GUIDELINE PART I. CASEOn January 1, 2018 Alphabet, Inc....

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ACC 401 Advanced AccountingFall 2019PROJECT GUIDELINE PART I. CASEOn January 1, 2018 Alphabet, Inc. acquired 100% of stocks of DoubleW, Inc. for $5,800,000. The DoubleW’s book value of capital stocks was $1,680,000, and $2,895,000 of retained earnings. Alphabet, Inc. found out that the trademark, which had 5 years remaining life was undervalued on $95,000. The Chip technology with 8 years life was undervalued on $24,000. The trial balance for the parent and subsidiary follow:        T-Mobile US    Clouds    Revenues     18,900,000      6,809,000     Cost of goods sold     15,900,000      7,849,120     Depreciation expense     165,000      876,000     Amortization expense     900,000      15,000     Dividend income     750,000      -     Net income     2,685,000      (1,931,120)    Retained earnings 1/1/18     29,458,000      5,485,000     Net income     2,685,000      (1,931,120)    Dividend declared     50,000      750,000     Retaining earnings 12/31/18     32,093,000      2,803,880     Cuent assets     25,456,000      2,265,000     Investments in DoubleW, Inc.     5,800,000      -     Equipment (net)     1,970,000      1,214,000     Trademark     396,000      24,000     Chip technology     -      98,000     Goodwill     81,000      215,880     Total assets     33,703,000      3,816,880     Liabilities     765,000      113,000     Common stock     635,000      50,000     Additional paid-in capital     210,000      850,000     Retained earnings 12/31/18     32,093,000      2,803,880     Total liabilities and equity     33,703,000      3,816,880 Deliverables:Using a worksheet approach, compute (in Excel) consolidated balances for Alphabet, Inc. and DoubleW, Inc.

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	PART I. CASE
	On January 1, 2018Alphabet, Inc. acquired 100% of stocks of DoubleW, Inc. for $5,800,000. The DoubleW’s book value of capital stocks was $1,680,000, and $2,895,000 of retained earnings. Alphabet, Inc. found out that the trademark, which had 5 years remaining life was undervalued on $95,000. The Chip technology with 8 years life was undervalued on $24,000.
		T-Mobile US	Clouds
	Revenues	18,900,000	6,809,000
	Cost of goods sold	15,900,000	7,849,120
	Depreciation expense	165,000	876,000
	Amortization expense	900,000	15,000
	Dividend income	750,000	-
	Net income	2,685,000	-1,931,120
	Retained earnings 1/1/18	29,458,000	5,485,000
	Net income	2,685,000	-1,931,120
	Dividend declared	50,000	750,000
	Retaining earnings 12/31/18	32,093,000	2,803,880
	Current assets	25,456,000	2,265,000
	Investments in DoubleW, Inc.	5,800,000	-
	Equipment (net)	1,970,000	1,

ACC 401 Advanced Accounting Fall 2019 PROJECT GUIDELINE PART I. CASE On January 1, 2018 Alphabet, Inc. acquired 100% of stocks of DoubleW, Inc. for $5,800,000. The DoubleW’s book value of capital...

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