12. The partnership of Gene, Scott,and Gina had total capital of $585,000 on December 31, 2017 as follows: Gene, Capital (30%) Scott, Capital (45%) Gina, Capital (25%) $185,000 260,000 Total $585,000 Profit and loss sharing percentages are shown in parentheses. Assume that Ann became a partner by investing $150,000 in the Gene, Scott, and Gina partnership for a 25 percent interest in capital and profits and that partnership net assets are not revalued. Ann's capital credit using the bonus method should be A) $190,000. B) $183,750. C) $180,000 D) S150,000. 13. The parent company concept of consolidation represents the view that the primary purpose of consolidated financial statements is: A) to provide information relevant to the controlling stockholders. B) to include only a portion of the subsidiary's assets, liabilities, revenues, expenses, gains, and losses. to emphasis control of the whole by a single management. to represent the view that the affiliated companies are a separate, identifiable economic entity C) D) 14. When land involved in an intercompany sale is sold to outsiders, the gain on the sale of that land is A) Increased by the remaining unrealized gain from the original sale. B) Increased by the total unrealized gain from the original sale. C) Decreased by the remaining unrealized gain from the original sale. D) Decreased by the total unrealized gain from the original sale. 15. How is the entry to recognize unrealized gain different between the cost and the complete equity method? A) B) C) D) The cost method does not have to do an elimination entry because it is recorded on S's books. The equity method does not have to do an elimination entry because it is recorded on P's books. The cost method debits beginning retained earnings- P and the equity method debits investment in S The cost method credits beginning retained earnings - P and the equity method credits investment in S