Question
Following are several figures reported for Allister and Barone as of December 31, 2015: Allister Barone Inventory $ 500,000 $ 300,000 Sales 1,000,000 800,000 Investment
Following are several figures reported for Allister and Barone as of December 31, 2015: |
| Allister | Barone | ||
Inventory | $ | 500,000 | $ | 300,000 |
Sales |
| 1,000,000 |
| 800,000 |
Investment income |
| not given |
|
|
Cost of goods sold |
| 500,000 |
| 400,000 |
Operating expenses |
| 230,000 |
| 300,000 |
|
Allister acquired 90 percent of Barone in January 2014. In allocating the newly acquired subsidiarys fair value at the acquisition date, Allister noted that Barone had developed a customer list worth $78,000 that was unrecorded on its accounting records and had a four-year remaining life. Any remaining excess fair value over Barones book value was attributed to goodwill. During 2015, Barone sells inventory costing $130,000 to Allister for $180,000. Of this amount, 10 percent remains unsold in Allisters warehouse at year-end. |
Determine balances for the following items that would appear on Allisters consolidated financial statements for 2015: Inventory 795,000 Sales ? Cost of Goods Sold 725,000 Operating Expenses 549,500 Net income attributable to Noncontrolling Interest ? |
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