Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Company Big is the parent company of Company Small, we have the following questions to be answered (each question, marked as a b c c

image text in transcribed
image text in transcribed
Company Big is the parent company of Company Small, we have the following questions to be answered (each question, marked as a b c c .. ., is independent from the oiers. 1. J J I I In 2000 Big sold a piece of land to Small for $ 0,000,000. Land was purchase by Big for $5,000,000. By the end of 2000, small sold the land to someone outside the group for $0,000,000. Please write down the adjusting journal entries to reconcile to the group perspective for 2000. . In 2000 Big sold a piece of land to Small for $ 0,000,000. Land was purchase by Big for $5,000,000. In 2000, small sold the land to someone outside the group for $0,000,000. Please write down the adjusting journal entries to reconcile to the group perspective for 2000 and 2000 separately. . {In 02t01t2000, Big sold a piece of patent to small for $5,000,000. Right before the transaction the patent had book value of $4,000,000. Note the patent had 5 years of useful life left upon the transaction. Clo 10t01t2000, small sold the patent for $5,500,000 to an outsider, please write down the adjusting journal entries for 2000 regarding the patent. {in 02t01t2000, Big sold a piece of patent to small for $5,000,000. Right before the transaction the patent had boolr value of $4,000,000. Note the patent had 5 years of useful life left upon the transaction. [in 0:1!01t20l0, small sold the patent for $5,000,000 to an outsider, please write down the adjusting journal entries regarding the patent for 20-00, 2000 and 2010 separately. . In 2000 Big sold some inventory to Small for $10,000,000 at the cost of $0,000,000, by the end of 2000,Small sold 00% of the batch of inventory to outsider. In 2000 Big sold some oier inventory to Small for $0,000,000 at the cost of $2,000, 000, by the end of 2000 2500 of the batch of inventory was sold to outsider. Please note that Small use FIFD. Please write down the adjusting journal entries for 2000 and 2000 separately. In 2000 Big sold some inventory to Small for $10,000,000 at the cost of $0,000,000, by the end of 2000,0mall sold 00% of the batch of inventory to outsider. [in 01t01t2000, before Small was able to sell any inventory that was bought from Big in 2000, Big sold some other inventory to Small for $0,000,000 at the cost of $2,000,000, by the end of 2000 25% of the batch of inventory was sold to outsider. Please note that Small use LIED. Please write down the adjusting journal entries for 2000 and 2000 separately

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Fundamentals of Financial Accounting

Authors: Fred Phillips, Robert Libby, Patricia Libby

6th edition

1259864235, 1259864230, 1260159547, 126015954X, 978-1259864230

More Books

Students also viewed these Accounting questions