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1. The amount on Income from Bambina account that should be reported on the Consolidated Income Statement for the year ended on December 31, 20X1

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1. The amount on "Income from Bambina account that should be reported on the Consolidated Income Statement for the year ended on December 31, 20X1 should be: a. 183000 b. 190,000 c. 35000 d. 433000 2. The amount of Net Income that should be reported on the Consolidated Income Statement for the year ended on December 31, 20X1 should be: a. 433000 b. 190000 C. 623000 d. 243000 3. On December 31, 20X1, under the initial Value method the "Investment in Bambina Company account on the parent separate accounting records should be: a. 1,250,000 b. 1,405,000 C. 1,398,000 d. O 4. Which of the following statement is true for Papa and Bambina: a. Under the partial equity method, the resulting consolidated net income is higher than that computed under the equity method b. Under the partial equity method, the resulting consolidated net income is lower than that computed under the equity method While papa's separate net income is higher under the partial equity method compared with the equity PAPA COMPANY AND CONSOLIDATED SUBSIDIARY Consolidation Worksheet For Year Ending December 31, 20X1 Consolidation Entries Consolidated Debit Credit Totals Revenues Cost of goods sold Depreciation Expense Amortization expense Income from Bambina Net income Papa Bambina Company Company 12/31/20X1 12/31/20X1 $ (990,000) S (770,000) 550,000 490,000 120,000 90.000 70,000 (183,000) 5 (433,000) S (190,000) Retained earnings, 1/1/X1 Net income Dividends paid Retained earnings, 12/31X1 S (880,000) $ (433,000) 90,000 S(1,223,000) S (480,000) (190,000) 35.000 (635,000) $ Cash Receivables Inventory Investment in Bambina Company 205,000 $ 330,000 440,000 1,398,000 73,000 220,000 280.000 50,000 Trademarks Patented Technologies Equipment (net) Goodwill Total assets 160,000 320,000 630,000 412,000 $ 3.483,000 5 1,035,000 Liabilities Common stock Additional paid-in capital Retained earnings, 12/31/X1 Total liabilities and equity $ (810,000) S (280,000) (230,000) (100,000) (1,220,000) (20,000) (1,223,000) (635,000) S(3,483,000) S (1,035,000) On December 31, 20X1, under the Equity method the "Investment in Bambina Company" account on the parent separate accounting records should be: 1,250,000 1,405,000 1,398,000 None of the answers is correct be amount on the Revenue account that should be reported on the Consolidated Income Statement for year coded on December 31, 20X1 should be: (990,000) (770,000) (220,000) 990,000 None of the answers is correct The amount on the Depreciation Expense account that should be reported on the Consolidated Income Statement for the year ended on December 31, 20X1 should be: 120,000 218,000 210,000 202,000 None of the answers is correct On December 31, 20X1, under the initial Value method the "Income from Bambina account on the parent separate accounting records should be: (183,000) (35,000) (190,000) (433,000) None of the answers is correct The amount of Total Assets on the Consolidated Statement of Financial Position (balance sheet) dated December 31, 20X1 should be: 3,483,000 1,035,000 4,518,000 3.763,000 None of the answers is correct What is the amount of goodwill, if any, that Papa should recognize on its consolidated financial statements? 260,000 390,000 650,000 None of the answers is correct The amount on the "Investment in Bambina Company" account that should be reported on the Consolidated Statement of Financial Position (balance sheet) dated December 31, 20XI should be: 1,250,000 1,405,000 1,398,000 190,000 None of the answers is correct The amount on the Trademarks account that should be reported on the Consolidated Statement of Financial Position (balance sheet) dated December 31, 20X1 should be: 160,000 210,000 345,000 360,000 None of the answers is correct The amount on the Cash account that should be reported on the Consolidated Statement of Financial Position (balance sheet) dated December 31, 20XI should be: 278,000 205,000 73,000 132,000 None of the answers is correct

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