Question
Anderson Inc. has owned 70% of its subsidiary Arthur Corp., for several years. The consolidated balance sheets of Anderson, Inc. and Arthur Corp are presented
Anderson Inc. has owned 70% of its subsidiary Arthur Corp., for several years. The consolidated balance sheets of Anderson, Inc. and Arthur Corp are presented below:
2011 2010
Cash 8,000 26,000
Accounts receivable (net) 75,000 54,000
Inventory 100,000 89,000
Plant & Equipment (net) 156,000 170,000
Copyright 16,000 18,000
355,000 357,000
Accounts payable . . . . . . 60,000 51,000
Long term debt 0 35,000
Non-controlling Interest 27,000 25,000
Common Stock $ 1 Par 100,000 100,000
Retained earnings 168,000 146,000
355,000 357,000
Additional information for 2011: The combination occurred using the acquisition method. Consolidated net income was $ 50,000 The non-controlling interest share of consolidated net income of ARthur was 3,200. Arthur paid $ 4,000 in dividends. There were no disposals of plant & equipment or copyright this year.
Net cash flow from financing activity is:
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started
Artificial Intelligence In Accounting And Auditing Knowledge Representation Accounting Applications And The Future Volume 3
Authors: Miklos A. Vasarhelyi
1st Edition
1558760784, 978-1558760783
