If a parent in accounting for its subsidiary amortizes patents on its separate books, why do we

Question:

If a parent in accounting for its subsidiary amortizes patents on its separate books, why do we include an adjustment for patents amortization in the consolidation workpaper?

Fantastic news! We've Found the answer you've been seeking!

Step by Step Answer:

Related Book For book-img-for-question

Advanced Accounting

ISBN: 9780132568968

11th Edition

Authors: Floyd A. Beams, Joseph H. Anthony, Bruce Bettinghaus, Kenneth Smith

See More Books

Question Posted: Oct 15, 2011 10:51 AM

See More Questions

Why do we include only the variable cost of sales when estimating the average investment in accounts receivable? Why do we apply an opportunity cost to this investment to estimate its cost?
Maness Company made a change in accounting for its inventories during the third quarter of its fiscal year. The company switched from the LIFO method to the average cost method. Describe the...
Katie Day Company adopts IAS 19 in accounting for its defined benefit pension plan on January 1, 2010, with the following beginning balances: plan assets $200,000; defined benefit obligation...
How does the ERM system help with timely, effective, and democratic business decisions? A) Reporting to the presidents of each unit a faculty in a method that allows silo type decisions B) Board...
Jesse is the office manager of a large firm called Law & Legal Services, Inc. At Law & Legal Services, overhead is allocated to client accounts using hours billed. Jesse found the following...
For its first year of operations ended December 31, 20Y6, Hunter-Jones Inc. reported income before income taxes of $2,800,000. By using temporary revenue and expense timing differences, Hunter- Jones...
11.5 MEAN VALUE THEOREM AND TAYLOR'S FORMULA Using D f as a replacement for f', we guess that the multidimensional analogue of the Mean Value Theorem is f(x) - f (a) = Df(c)(x-a) for some c "between"...
Revisit Exercise 4-14 about Drew Corp. If you have not already completed that exercise, do so before answering the following questions. Required a. Calculate under- or overapplied overhead for the...
Using Facebooks 12/31/2020 10-K and other researched material, answer the questions below in the boxes provided Part B (15 points) Valuation Measures Work and Solution 2020 2019 Pretend you own FB,...
Lobers, Inc., has two investment proposals, which have the following characteristics: For each project, compute its payback period, its net present value , and its profitability index using a...
Lowstep Corporation filed for relief under Chapter 11 of the bankruptcy act on January 2, 2011. A summary of Lowstep's assets and equities on this date, and at June 30, 2011, follows. Estimated fair...
How is noncontrolling interest share entered in consolidation workpapers?
Figure shows transverse acceleration ay versus time t of the point on a string at x = 0, as a wave written in the form y(x, t) = ym sin (kx ?? wt + ?) passes through that point. The scale of the...
The table 1 below is shown the production theory of labour for company D'LIMAU Sdn Bhd. Input X Input Y Total Product (TP/Q) 1 0 0 1 1 20 1 2 80 1 3 180 1 4 230 1 5 270 1 6 270 1 7 210 Average...
Describe the most important three rights in the Bill of Rights of the United States Constitution. The Bill of Rights is the first ten amendments to the Constitution, but they contain far more than...
A red/white wine-tasting party will be held in the school in April, and the theme of the event will be formulated based on the season (April), place (Ontario/Canada), and target participants. Please...
We explored many of the revenue streams available to fund fire prevention practices. Describe one revenue stream and explain why you feel it is the most important in supporting fire prevention...
Multi-national management in a global economy requires a variety of hard and soft skills. This assignment is meant to enhance the understanding of multi-national situations locally or globally, and...
In what ways can the Internet help this organization improve its competitive position?
SCHEDULE OF COST OF GOODS MANUFACTURED The following information is supplied for Sanchez Welding and Manufacturing Company. Prepare a schedule of cost of goods manufactured for the year ended...
Trichloroacetaldehyde, Cl 3 CCH = O, forms a cyclic trimer analogous to paraldehyde. (a) Account for the fact that two forms of this trimer are known (, bp 223C and mp 116C; b, bp 250C and mp 152C)....
Explain the sequence of workpaper adjustments and eliminations for unrealized gains and losses on depreciable plant assets. Is your answer affected by whether the intercompany transaction occurred in...
Use the following information in answering questions 1 and 2: Par Company sells land with a book value of $5,000 to Sub Company for $6,000 in 2011. Sub Company holds the land during 2012. Sub Company...
Sam Corporation is a 90 percent-owned subsidiary of Par Corporation, acquired by Par in 2011. During 2014 Par sells land to Sam for $50,000 for which it paid $25,000. Sam owns this land at December...
nformation pertaining to Noskey Corporation s sales revenue follows: November 2 0 2 1 ( Actual ) December 2 0 2 1 ( Budgeted ) January 2 0 2 2 ( Budgeted ) Cash sales $ 1 0 5 , 0 0 0 $ 1 1 5 , 0 0 0...
The management team of Netflix maintains a stable dividend using the Lintner model: Dt+1 = Dt + EPS Target Payout Where Dt (Dt+1) = dividend in the current period t (the next period t + 1) EPSt =...
#1 #2 hapter 50 10 D Werences lav Help Required information [The following information applies to the questions displayed below) Archer Company is a wholesaler of custom-built air-conditioning units...

If a parent in accounting for its subsidiary amortizes patents on its separate books, why do we

Question:

Step by Step Answer:

Under the equity method a parent amortizes patents from its s...View the full answer

Advanced Accounting

Students also viewed these Accounting questions