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Paar Corporation bought 100 percent of Kimmel, Inc., on January 1, 2015. On that date, Paar's equipment (10-year life) has a book value of $470,000 but a fair value of $648,000. Kimmel has equipment (10-year life) with a book value of $259,000 but a fair value of $437,000. Paar uses the equity method to record its investment in Kimmel. On December 31, 2017, Paar has equipment with a book value of $329,000 but a fair value of $533,500. Kimmel has equipment with a book value of $181,300 but a fair value of $403,400. What is the consolidated balance for the Equipment account as of December 31, 2017?

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Accounting Basics, Accounting

Category:- Accounting Basics
Reference No.:- M92793511

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