Question
Following are several figures reported for Allister and Barone as of December 31, 2018: Allister Barone Inventory $ 590,000 $ 390,000 Sales 1,180,000 980,000 Investment
Following are several figures reported for Allister and Barone as of December 31, 2018:
Allister | Barone | |||
Inventory | $ | 590,000 | $ | 390,000 |
Sales | 1,180,000 | 980,000 | ||
Investment income | not given | |||
Cost of goods sold | 590,000 | 490,000 | ||
Operating expenses | 275,000 | 345,000 | ||
Allister acquired 90 percent of Barone in January 2017. In allocating the newly acquired subsidiary's fair value at the acquisition date, Allister noted that Barone had developed a customer list worth $74,000 that was unrecorded on its accounting records and had a 4-year remaining life. Any remaining excess fair value over Barone's book value was attributed to goodwill. During 2018, Barone sells inventory costing $139,000 to Allister for $198,000. Of this amount, 10 percent remains unsold in Allister's warehouse at year-end.
Determine balances for the following items that would appear on Allister's consolidated financial statements for 2018:
Inventory
Sales
Cost of goods sold
Operating expenses
Net income attributable to noncontrolling interest
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