what am i missing on this fsa question?

company A acquires company B for $80million on sept 30, 2007. the equity of b was surrendered for cash. revenue for year ended dec 31, 2007 for the two companies: company a: 4,950,000 company b: 440,000 What is the amount of revenue reported by the merged firm under the purchase method and US GAAP?

5060000 ?

dinesh is right you prorate the aquired firm’s revenues that is 3/12 *440000+4950000

Thanks. I need to review fsa again. i was prorating the whole amount…

it’s a pain whenever there is more than 2 weeks since i went over a subject a lot of stuff seems like new, like i havent seen it in my life

don’t worry sf happens to everybody. Today evening when they were discussing Swaps (31 posts), I was not able to recall a WORD on it. I got so tensed that I had to leave my lappy and go out for a chilled coffee a SBUK.

exactly florin. soon as i feel like i can dominate derivatives and quant. i go back to fsa and equity and it’s all new. what a disaster.

i’m glad i’m not the only one.

I wish the whole exam was on swaps! That seems to be all I can remember.

thats because you were afraid of them and you put effort and thought into it. lets face it this is an exam that probably need 5-6 months of steady studying

what do you guys remember about negative goodwill? i’ll post a question.

florinpop Wrote: ------------------------------------------------------- > thats because you were afraid of them and you put > effort and thought into it. > lets face it this is an exam that probably need > 5-6 months of steady studying Uh-oh. Not going to get that in.

I am not saying it’s not passable but for a confident aproach if you ever can achieve that…

florinpop Wrote: ------------------------------------------------------- > lets face it this is an exam that probably need > 5-6 months of steady studying This is scaring the sh*t out of me. I just studied 1/2 of what you have listed. How can I get 2 more months now?

Invent a time machine…of course if you could, you would have no problem passing the exam in a month or so.

florinpop was referring to dumba$$es like me. not guys like you. you guys have it together.

cfasf1 you’re on top of things

i thought i was florinpop. i thought i was.