account advanced

Analyze advantages and disadvantages of business combination either by acquiring Assets vs. Stock and by what are the Major Decision Factors to choose between Acquiring of Assets vs. Stock?(1.0 mark)
Answer:
Q2 ABC Corporation (parent) acquired 100% of the outstanding common stock of Oraby Inc. (subsidiary ) for SR 3,000,000 cash and 50,000 shares of its own common stock (SR 1 par value), which was trading SR 30 per share in Saudi stock exchange at the acquisition date in January 1,2021 ?(1.0 mark)
Required: Prepare the journal entry to record the acquisition on the books of parent
Answer:

Q3. ABC Corporation (parent) acquired 100% of the outstanding common stock of Oraby Inc. (subsidiary) and ABC assumed and paid in cash the following direct costs of acquisition: ?(1.0 mark)
Expense name
Amounts in SR
Legal fees
5,000
Accounting fees
10,000
Travel expenses
2,000
Legal fees (stock issue)
15,000
Accounting fees (stock issue)
3,000
SEC filing fees
15,000
Total
50,000

Required: Prepare the journal entry to record the direct costs.
Answer:

Q4. ABC Corp. paid SR 3,500,000,000 in cash for Oraby Inc. and that the estimated fair market values of Subsidiary’ assets, liabilities, and equity accounts are as follows as of December 31 ,2020 . ? (1.0 mark)
Title
Fair value in SR
Accounts Receivable
1000,000
Inventory
500,000
PP