Business Combination Essay

645 words - 3 pages

Case 11-7 Food for Thought Allfoods Corp. (Allfoods) is a calendar year-end company. On February 1, 2009, Allfoods announced that it was acquiring 80 percent of the outstanding common stock of Baked Beans Corp. (Baked Beans) in a business combination. On the acquisition date, Allfoods paid $40 million in cash and issued two million shares of Allfoods common stock to the selling shareholders of Baked Beans. All of the outstanding stock options granted to employees of Baked Beans will be replaced with Allfoods stock options as required by the merger agreement. Allfoods is accounting for the transaction in accordance with ASC 805, Business Combinations. 1. Determining Consideration Transferred ...view middle of the document...

e., demolition costs of the building, net of the fair value of scrap from the building and nonmovable equipment). The movable equipment (i.e., equipment that could be sold separately) could be sold at auction for $2 million. The Chino manufacturing facility (as acquired) is estimated to be worth $36 million. Management determined that the individual fair value of the land being used for industrial purposes is $21 million and that the fair value of the buildings and machinery as currently being used (for industrial purposes) is $7 million. 3. Valuation of Intangible Assets The in-process research and development (IPR&D), which is proprietary food freezing technology submitted for Food and Drug Administration (FDA) approval, has a fair value of $15 million. The company considers its R&D to be in-process because it has not yet obtained FDA approval and additional R&D may be required. Allfoods management has determined that the fair value of the Baked Beans trademark is $3 million, using a market participants’ viewpoint. Management has also determined that it will not use...

Other assignments on Business Combination

Brief Introduction Of Oracle E-Business Suite

545 words - 3 pages customer relationship management (CRM) applications. Each application is licensed separately so companies can select the combination that is suitable for their business processes. Oracle E-Business Suite offers flexible business solutions for different sizes of companies, which is a significant strength. 1, Large-sized Companies Large-size companies in the favor of Oracle EBS because of the powerful functions of this software. For example

Business Entities, Laws, And Regulations Paper

1112 words - 5 pages . To form their LLP, Renaldo and Naomi will need to write and file articles of partnership in the state in which they wish to operate. If they choose to conduct business in another state, they will first need to register as a foreign LLP with that state. Organizing their business as a limited liability partnership offers Renaldo and Naomi the best combination of liability protection, tax benefits, and control of their business (Cheeseman, 2010

Multinational Acquisition

1378 words - 6 pages Oats Company about a potential business combination. Quaker Foods North America manufactures, markets, and sells ready-to-eat cereals, hot cereals, flavored rice and pasta products, mixes and syrups, hominy grits and cornmeal in North America. Products manufactured and sold include Quaker oatmeal, Cap'n Crunch, and Life cereals, Rice-A-Roni products, Aunt Jemima mixes and syrups, and Quaker grits. Gatorade, a key brand in Quaker’s portfolio, had

Variable Costs For Snap Fitness

748 words - 3 pages protein-enriched bakery goods to the institutional food market (Kimmel, Weygandt, & Kieso, 2009). As a virtual corporation, Super Bakery’s core business functions are maintained within the company. Other business functions such as “selling, manufacturing, warehousing, and shipping—are outsourced to a network of external companies… to add maximum value to the company while making the minimum investment in permanent staff, fixed assets, and

Strategic Management

527 words - 3 pages on how to continue completing the monthly goals. The cross training is another form of helping and providing new knowledge to the employees ; training them in different positions so they can learn other job duties is also a positive thing. A combination of these quality makes a manager a leader , but he should always make his or her employees feel part of the business with this you will have more productive employees in your company.


751 words - 4 pages  differentiation of products and services is how elements combine to best meet client objectives. Thus, competitive advantage is the combination of values, but which must have one or two exceptional value to help customers identify the products of the business between the products of competitors.

You Decide

430 words - 2 pages combination of these strategies. In open market operations the fed should purchase securities (bonds) in the open market thus increasing the supply of money in the economy. This is one point I agree with Patricia lopez and Allison Tanney on. The Fed may also consider reducing the reserve requirements for banks this will have a multiplier effect as banks will be able to generate more loans; providing more capital for small business creation and


435 words - 2 pages , data resources such as databases, the hardware resources of a system, decision support systems, people management and project management applications, and any computerized processes that enable the department to run efficiently. 2. WHY IS MIS IMPORTANT FOR ORGANIZATION? Because MIS provides several benefits to the business organization: the means of effective and efficient coordination between Departments; quick and reliable referencing

Profile Of Lee Jin Hwui

374 words - 2 pages Profile of Trainer MR LEE JIN HWUI Associate Consultant, SHRI Corp Areas of Expertise • Strategic HR Business Partnering • Talent Attraction & Selection • Employee Learning & Development • Talent Management & Succession Planning • Managing for Peak Performance • Engagement & Employee Communications • Presentation Skills • Career Coaching Jin Hwui is a multiple award winning, seasoned

Management Article

728 words - 3 pages case study method and some use the combination of lecture and case study method to impart lessons in management education. The problem with case study methods is that students with little or no management are presented with a 20 page case study about a firm and asked to give their strategy on it the next day. This helps the students in talking business but it does not translate into learning business.

Asset Goodwill

904 words - 4 pages “Goodwill arises when one company acquires another company (in a business combination accounted for as a purchase) for a price in excess of the fair market value of the net identifiable assets (identifiable assets less liabilities assumed) acquired” (Fraser, Ormiston, 2013). What are the key factors in the creation of business goodwill? These are going concern, excess business income & the expectation of future economic benefits. Within a

Similar Documents

A Microfinance Mis Essay

263 words - 2 pages A Microfinance MIS XBIS/219 06/15/2012 Clara Spenny A Microfinance MIS The Business Intelligence and Reporting Tools (BIRT) is an Eclipse-based open source reporting system for web applications, especially those based on Java and Java EE ( The report designer and a runtime component are BIRT two major components. When these two components are combined it will allow the user to create graphically rich reports. BIRT also

World Class It Essay

848 words - 4 pages World Class IT: Introduction: World class IT is a level of excellence that Information Technology department earns when its operation meets most of the objectives it set out to perform in the business. Therefore, world class IT is a combination of many factors: the effectiveness of technology in providing customer service and increasing sales; the understanding of IT personnel of the actual business objectives; and facilitation of an efficient

Wyndham International Essay

400 words - 2 pages implement 5) Introduce reward or loyalty programs for the ByRequest members Pros: leverage customer relationship, brand loyalty Cons: time and cost to see the impact 6) Use of emerging technology such as CRM, analysis tool to leverage customer data Pros: leverage customer relationship, gain competitive edge, Cons: time and cost to implement, resistance to commitment Recommended Solution: Combination of 1, 3, 4 and 6 are recommended. This will ensure Wyndham can sustain competitive advantage and leverage customer relationships. It will also ensure strategic alignment between business and IT.

Rfdytc Essay

536 words - 3 pages   IMPORTANT NOTE: The course is currently on hold and not accepting applications at this time.  Please check back for future updates or contact your Center Training Office. BEP is designed to provide NASA leaders with a basic knowledge of business strategy, finance and alliance management and a familiarity with NASA’s business environment. Through a combination of lecture and hands-on instruction, participants are presented fundamental