On December 31, year 1, Saxe Corporation was acquired by Poe Corporation. In the business combination, Poe issued 200,000 shares of its 10 par common stock, with a market price of 18 a share, for all of Saxe's common stock. The stockholders’ equity section of each company’s balance sheet immediately before the combination was Poe Saxe Common stock 3,000,000 1,500,000 Additional paid-in capital 1,300,000 150,000 Retained earnings 2,5
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