18-21 together

Question 18 4 pts (For questions 18-21). You can use a blank excel spreadsheet. SUB is an 80% owned subsidiary of PAR. SUB issued $100,000 of 8%, 5-year bonds for $95,000 on 1/1/2011. Annual interest is paid on 12/31. PAR purchased the bonds on 1/1/2013 for $101,500. Both companies use the straight-line method to amortize the premium/discount on the bonds. 18. How much gain or loss on retirement should be reported in 2013 consolidated statements? 2,500 loss 4,500 loss 0 2,500 gain 0 2,000 loss MacBook Air 1055 Question 19 4 pts 19. The net adjustment needed to consolidated income in the consolidation process for 2013 is: (hint: subsidiary income distribution schedule) O 3,000 decrease O 1,000 increase O 4,000 decrease O 3,500 decrease MacBook Air 4.000 decrease 0 3.500 decrease D Question 20 4 pts 20. The elimination and adjustment process for 2013 consolidated statements include: Credit Discount 500 O Debit Interest Revenue 7.500 o Credit Investment in Subsidiary Bond 101,500 Credit Interest Expense 8,000 Question 21 MacBook Air Credit Investment in Subsidiary Bond 101.500 O Credit Interest Expense 8.000 Question 21 4 pts 21. The elimination and adjustment process for 2014 consolidated statements include: Debit Bond Payable 99,000 Debit Retained Earnings - PAR 2,400 O Credit Investment in Subsidiary Bond 101,500 O Credit Discount 500 Question 22 MacBook Air