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Determining ending consolidated balances in the third year following the acquisition-cost method Assume a parent company acquired a subsidiary on January 1, 2017 for $1,000,000.

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Determining ending consolidated balances in the third year following the acquisition-cost method Assume a parent company acquired a subsidiary on January 1, 2017 for $1,000,000. The purchase price was 5650,000 in excess of the subsidiary's $350.000 book value of Solvolder Equity on the acquisition date of this excess purchase price $400,000 was assigned to Property, plant and equipment with a remaining economic use Me of years, and $250,000 was www to Goodwill. On the acquisition date, the subsidiary reported retained earnings equal to $80,000. The parent uses investment cost method of pre-cornaldation qui vestment bookkeeping. The financial statements of the parent and its sitesidiary for the yew ended December 31, 2019, are as follows: Subsidiary Pareru Subsidiary income statement Balance sheet: Sales 2.400.000 $200,000 Anets Cost of goods sold 11,300 ISSO Cash 3150.000 Gross prene 1,100,000 LOCO Accouns receivable 1,100.00 240.000 Investment income W 000 Inventory 2.400.000 50.000 Operating expenses 600.000 PM) quy treat vi v 1,000,000 Net Income $550,000 $100,000 Property plant and equipment PPF.net 4,000,000 1,000,000 $10,000,000 $1,000 Statement of retained earnings BOY retained earnings $1,500,000 $ 500.000 Liabilities and stockholders' equiry Net income 550,000 100,000 Accounts payable $1,000,000 $170,000 250,000 8000 Dividends (S0.000 Accrued liabilities 200,000 Ending retained earnings $1,800,000 $ 550,000 Long term liable 3,000,000 700.000 Common stock 90,000 120,000 2.900.000 150.000 APIC Retained earnings 1.800.000 w0,000 $10,000,000 $1,100,000 At what amount will the following accounts appear in the consolidated financial statements for the year ended December 31, 2019 D roland Common stock 500,000 120.000 APIC 2.900.000 150,000 Retained earnings 100,000 550.000 $10,000,000 $1,890.000 At what amount will the following accounts appear in the consolidated financial statements for the year ended December 31, 2017 Account Amount a Sales b. Investment Income 5 0 c. Operating expenses $ d. Inventaries 5 D e Equity Investment 5 0 IPPE, net $ 0 8. Goodwill 5 h Common Stock $ 0 1. Retained Earnings $ 0 Muut ERC -- FVOE- Connect - Mathalle Determining ending consolidated balances in the third year following the acquisition-Cost method Assume a parent company acquired a subsidiary on January 1, 2017 for $1,000,000. The purchase price was 3650,000 in excess of the subsidiary's $350.000 book value of Stockholders wity on the acquisition date of this excess purchase price $400,000 was assigned to Property, plant and equipment with a remaining economic useful le of years, and $250,000 was asswd to Goodwill on the acquisition date, the subsidiary reported retained earnings equal to 180,000. The parent uses Investment cost method of pre-corolidation Equity Westment bookeeping, The financial statements of the parent and its sitosidiary for the year ended December 31, 2019, are as follows: Paren Subsidiary income statement Balance sheet $2,400,0O $900,000 Arts Cost organds sold 11.300.000 Cach $1,1 $10.000 Gross prene 1,100,0CO 350.000 Accounts receive 1.100,00 240.000 investere income SOLO Inwentary 2.100.000 VODO Operating expenses muy investment 100 Net income $5,000 $100,000 Property, plant and equipment Pinet 4,000,000 1,000,000 $10,000,000,000 Statement of retained earning HOY retained earnings $1,500,000 $ 500.000 Liabilities and stockholders' equiry Net income 550.000 100,000 Accounts payabile $1,000,000 $170,000 800.000 Dividends 250LDOO) (50,0000 Accrued liabilities 200,000 Ending retained earnings $1,800,000 $ 550,000 Long-term liabilities 3,000,000 700,000 Common stock 100,000 120.000 2,800,000 150.000 APIC Retained earnings 1.800.000 550.000 $10,000,000 $1,790,000 At what amount will the following accounts appear in the consolidated financial statements for the year ended December 31, 2019 D roland Common stock 500,000 120.000 APIC 2,900.000 150,000 Retained earnings 100,000 550.000 $10,000,000 $1,890.000 At what amount will the following accounts appear in the consolidated financial statements for the year ended December 31, 2017 Account Amount a Sales b. Investment Income S 0 c. Operating expenses $ d. Inventories 5 D e Equity Investment 5 0 L.PPE, net $ g Goodwill $ 0 h. Common Stock $ 0 1. Retained Earnings $ 0 Determining ending consolidated balances in the third year following the acquisition-cost method Assume a parent company acquired a subsidiary on January 1, 2017 for $1,000,000. The purchase price was 5650,000 in excess of the subsidiary's $350.000 book value of Solvolder Equity on the acquisition date of this excess purchase price $400,000 was assigned to Property, plant and equipment with a remaining economic use Me of years, and $250,000 was www to Goodwill. On the acquisition date, the subsidiary reported retained earnings equal to $80,000. The parent uses investment cost method of pre-cornaldation qui vestment bookkeeping. The financial statements of the parent and its sitesidiary for the yew ended December 31, 2019, are as follows: Subsidiary Pareru Subsidiary income statement Balance sheet: Sales 2.400.000 $200,000 Anets Cost of goods sold 11,300 ISSO Cash 3150.000 Gross prene 1,100,000 LOCO Accouns receivable 1,100.00 240.000 Investment income W 000 Inventory 2.400.000 50.000 Operating expenses 600.000 PM) quy treat vi v 1,000,000 Net Income $550,000 $100,000 Property plant and equipment PPF.net 4,000,000 1,000,000 $10,000,000 $1,000 Statement of retained earnings BOY retained earnings $1,500,000 $ 500.000 Liabilities and stockholders' equiry Net income 550,000 100,000 Accounts payable $1,000,000 $170,000 250,000 8000 Dividends (S0.000 Accrued liabilities 200,000 Ending retained earnings $1,800,000 $ 550,000 Long term liable 3,000,000 700.000 Common stock 90,000 120,000 2.900.000 150.000 APIC Retained earnings 1.800.000 w0,000 $10,000,000 $1,100,000 At what amount will the following accounts appear in the consolidated financial statements for the year ended December 31, 2019 D roland Common stock 500,000 120.000 APIC 2.900.000 150,000 Retained earnings 100,000 550.000 $10,000,000 $1,890.000 At what amount will the following accounts appear in the consolidated financial statements for the year ended December 31, 2017 Account Amount a Sales b. Investment Income 5 0 c. Operating expenses $ d. Inventaries 5 D e Equity Investment 5 0 IPPE, net $ 0 8. Goodwill 5 h Common Stock $ 0 1. Retained Earnings $ 0 Muut ERC -- FVOE- Connect - Mathalle Determining ending consolidated balances in the third year following the acquisition-Cost method Assume a parent company acquired a subsidiary on January 1, 2017 for $1,000,000. The purchase price was 3650,000 in excess of the subsidiary's $350.000 book value of Stockholders wity on the acquisition date of this excess purchase price $400,000 was assigned to Property, plant and equipment with a remaining economic useful le of years, and $250,000 was asswd to Goodwill on the acquisition date, the subsidiary reported retained earnings equal to 180,000. The parent uses Investment cost method of pre-corolidation Equity Westment bookeeping, The financial statements of the parent and its sitosidiary for the year ended December 31, 2019, are as follows: Paren Subsidiary income statement Balance sheet $2,400,0O $900,000 Arts Cost organds sold 11.300.000 Cach $1,1 $10.000 Gross prene 1,100,0CO 350.000 Accounts receive 1.100,00 240.000 investere income SOLO Inwentary 2.100.000 VODO Operating expenses muy investment 100 Net income $5,000 $100,000 Property, plant and equipment Pinet 4,000,000 1,000,000 $10,000,000,000 Statement of retained earning HOY retained earnings $1,500,000 $ 500.000 Liabilities and stockholders' equiry Net income 550.000 100,000 Accounts payabile $1,000,000 $170,000 800.000 Dividends 250LDOO) (50,0000 Accrued liabilities 200,000 Ending retained earnings $1,800,000 $ 550,000 Long-term liabilities 3,000,000 700,000 Common stock 100,000 120.000 2,800,000 150.000 APIC Retained earnings 1.800.000 550.000 $10,000,000 $1,790,000 At what amount will the following accounts appear in the consolidated financial statements for the year ended December 31, 2019 D roland Common stock 500,000 120.000 APIC 2,900.000 150,000 Retained earnings 100,000 550.000 $10,000,000 $1,890.000 At what amount will the following accounts appear in the consolidated financial statements for the year ended December 31, 2017 Account Amount a Sales b. Investment Income S 0 c. Operating expenses $ d. Inventories 5 D e Equity Investment 5 0 L.PPE, net $ g Goodwill $ 0 h. Common Stock $ 0 1. Retained Earnings $ 0

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