write my assignment 8645

Peat Company acquired a 100% interest in Moss by issuing 50,000 shares of its $1 par value common stock valued at $776,000. Prior to the transaction, both entities were under common control; accordingly, the transaction is accounted for as a pooling of interests under US GAAP. 

The parent and the subsidiary report the following balance sheets on the acquisition date, prior to the issuance of stock by Peat:

Peat:

Cash 920753

A/R 725760

Inventory 1099980

PPE, net 5291244

Current Liabilities 814779

LT Liabilities3379200

Common Stock927045

APIC688905

Retained Earnings2227808

Moss:

Cash107576

A/R165648

Inventory212772

PPE, net5291244

Current Liabilities165648

LT Liabilities238000

Common Stock47600

APIC59500

Retained Earnings368900

Provide the journal entry by Peat to record the investment and the consolidating entries.

 
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