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What is consolidated retained earnings?

Select one: a. Parents retained earnings plus Parents share of the net increase in Subsidiary retained earnings since acquisition. b. Parents retained earnings plus Subsidiary retained earnings. c. Parents retained earnings only d. parents retained earnings plus Parents share of Subsidiary net income for the current year less parents share of Subsidiary dividends declared

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In 2014,P Co sold land to its subsidiary, S Co, for $38,000. It had a book value of $24,000. In the next year, S sold the land for $41,000 to an unaffiliated firm.

The 2014 unrealized gain from the intercompany sale

Select one: a. should be eliminated from consolidated net income by a working sheet entry that credits gain on sale of land for $14,000. b. should be eliminated from consolidated net income by a working sheet entry that credits land for $14,000 c. should be eliminated from consolidated net income by a working sheet entry that debits land for $14,000 d. should be recognized in consolidation in 2014 by a working paper entry.