Unrealized Profit Determination In 2006, a parent and its 100%-owned subsidiary had intercom pany inventory transactions. The

Question:

Unrealized Profit Determination In 2006, a parent and its 100%-owned subsidiary had intercom¬

pany inventory transactions. The following account balances pertain to this inventory transfer:

Account Plax Inc. Strax Inc.

Income Statement (2006)

Sales Cost Intercompany Intercompany of

sales .

sales cost of

sales .

$ 650,000

(300,000)

$ 500,000 (350,000)

Balance Sheet (12/31/06)

Intercompany-acquired inventory . $ 200,000 1. What is the unrealized intercompany profit at year-end?

2. What amounts should be reported in the Consolidated column?

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

Step by Step Answer:

Related Book For book-img-for-question

Advanced Accounting Concepts And Practice

ISBN: 9780324233537

9th Edition

Authors: Arnold J. Pahler

See More Books

Question Posted: Jul 08, 2024 02:05 AM

See More Questions

only question 2.. plz help me.. im offering all my credits. i swear... Faculty of Business, Economics & Accounting Department of Accounting and Finance HELP Bachelor of Business (Hons) Year 3...
Question 1 , Question 2 and Question 5 part (ii) thanks alot Faculty of Business, Economics & Accounting Department of Accounting and Finance HELP Bachelor of Business (Hons) Year 3 INTERNAL SUBJECT...
The ledger of Duggan Rental Agency on March 31 of the current year includes the following selected accounts before adjusting entries have been prepared. Debit Credit Prepaid Insurance $3,600 Supplies...
Using the Internet, explore the most useful mobile applications for a business or industry of your choice. Also explore mobile applications for this business or industry that are not currently...
The Paddocks hired Harper Realty to sell their hotel. The Paddocks agreed that if Harper sold the hotel, they would pay Harper a commission of $ 15,000, with $ 3,000 down and the balance in monthly...
What are the sources of demand in an MRP system? Are these dependent or independent, and how are they used as inputs to the system?
For calculating depreciation, scrap value is irrelevant.
Figure shows a battery connected across a uniform resistor R 0 A sliding contact can move across the resistor from x = 0 at the left to x = 10 cm at the right. Moving the contact changes how much...
$4.88 $5.46 $11.00 $6.13 $6.31 $4.88 $5.46 $11.00 $6.13 $6.31
Reverse Analysis In consolidation at the end of 2006, Cost of Sales was credited fot $60,000 as a result of a posting from the inventory/COS change in basis elimination entry. During 2006 the sub...
Unrealized Profit Determination A parent and its subsidiary had intercompany inventory transac tions in 2006 as follows: 1. Complete the analysis. 2. Prepare the inventory transfer elimination entry...
Goldstein, Inc. has the following balance sheet at December 31, 2014: Goldstein projects the following transactions for 2015: Sales on account, $ 20,000 Cash receipts from customers from sales on...
Given below is some is a comparison of financial performance data of a project when flexibility is incorporated (I.e. flexible project) in comparison to when it is not. (i.e. inflexible project) The...
For Service Zone H, assuming your shipment chargeable weight is between 100 and 300 kg, at what weight does it become cheaper to declare the shipment weight to be 300 kg.? EG: What is the rate break...
Gold Dust Ltd has produced the following budgeted data for its current financial year:- Sales 2900000 Direct materials 400000 Direct labour 500000 Production overhead 1200000 Production cost 2100000...
Critical Review V Hide Assignment Information Instructions Williams, A. (2012). Worry, intolerance of uncertainty, and statistics anxiety. Click on the following link to retrieve the article....
(4.) Octopussy Company uses a predetermined overhead rate in applying overhead to production orders on a labor-cost basis for Dept. A and on a machine-hour basis for Dept. B. At the beginning of...
What factors help to explain the growth of service businesses relative to manufacturing businesses in the United States in recent years?
The activities listed in lines 2125 serve primarily as examples of A) Underappreciated dangers B) Intolerable risks C) Medical priorities D) Policy failures
When credit terms for a sale are 2/15, n/40, the customer saves by paying early. What percent (rounded) would this savings amount to on an annual basis
An industrial robot that is depreciated by the MACRS method has B = $60,000 and a 5-year depreciable life. If the depreciation charge in year 3 is $8,640, the salvage value that was used in the...
What determines a firm's beta? Should firm management make changes to its beta? Be sure to consider the implications for the firm's investors using CAPM.

Unrealized Profit Determination In 2006, a parent and its 100%-owned subsidiary had intercom pany inventory transactions. The

Question:

Step by Step Answer:

Advanced Accounting Concepts And Practice

Students also viewed these Business questions