When a subsidiary sells inventory to a parent, the intercompany profit is removed from the sub sidiarys

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When a subsidiary sells inventory to a parent, the intercompany profit is removed from the sub¬ sidiary’s income and reduces the income allocation to the noncontrolling interest. Is the profit per¬ manently eliminated from the noncontrolling interest, or is it merely shifted from one period to the next? Explain. LO8

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Advanced Accounting

ISBN: 9780073379456

9th Edition

Authors: Joe Ben Hoyle, Timothy S. Doupnik, Thomas F. Schaefer, Oe Ben Hoyle

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