Question
Angela, Inc., holds a 90 percent interest in Corby Company. During 2017, Corby sold inventory costing $108,800 to Angela for $128,000. Of this inventory, $55,400
Angela, Inc., holds a 90 percent interest in Corby Company. During 2017, Corby sold inventory costing $108,800 to Angela for $128,000. Of this inventory, $55,400 worth was not sold to outsiders until 2018. During 2018, Corby sold inventory costing $161,250 to Angela for $215,000. A total of $53,400 of this inventory was not sold to outsiders until 2019. In 2018, Angela reported separate net income of $216,000 while Corby's net income was $125,000 after excess amortizations. What is the noncontrolling interest in the 2018 income of the subsidiary?
1.$12,500.
2.$12,300.
3.$11,996.
4.$12,530.
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