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Hi! I have two problems I am struggling with. If you could help me with them, that would be great! ON 1/1/2009 THE YODA COMPANY
Hi! I have two problems I am struggling with. If you could help me with them, that would be great!
ON 1/1/2009 THE YODA COMPANY PURCHASED ALL OF THE STOCK IN THE FIRST ORDER COMPA YODA ACCOUNTS FOR ITS INVESTMENT IN THE FIRST ORDER USING THE INITIAL VALUE METHOD ON 1/1/2011 YODA COMPANY PURCHASED A TRUCK FOR $80,000 THIS TRUCK IS EXPECTED TO L AND HAVE A $2000 SALVAGE VALUE. YODA USES STRAIGHT LINE DEPRECIATION ON 1/1/2014 THE YODA COMPANY SOLD THE TRUCK TO THE FIRST ORDER COMPANY FOR $75,0 TRUCK WILL LAST 9 YEARS AND HAVE A $3000 SALVAGE VALUE. THE FIRST ORDER ALSO USES ST THE FIRST ORDER GAVE YODA A 1 YEAR 5% NOTE WITH PRINCIPLE AND INTEREST DUE 1/1/201 1/1/2015 THE FIRST ORDER PAID OFF THE NOTE AND INTEREST ON 1/1/2018 THE FIRST ORDER SOLD THE TRUCK TO THE OBI-WON COMPANY FOR $55000. UNCONSOLIDATED INCOME FOR YODA AND THE FIRST ORDER WERE AS FOLLOWS: YODA THE FIRST ORDER 2014 350000 43000 2015 415000 45000 2016 379000 48000 2017 399000 43000 2018 411000 55000 REQUIRED: A) DETERMINE YODA'S ANNUAL DEPRECIATION EXPENSE FOR THIS TRUCK B) MAKE THE JOURNAL ENTRY YODA MAKES WHEN IT SELLS THE TRUCK TO TH C) MAKE THE JOURNAL ENTRY THE FIRST ORDER MAKES WHEN IT BUYS THE D) DETERMINE THE FIRST ORDER'S ANNUAL DEPRECIATION EXPENSE FOR THIS E) MAKE THE NECESSARY WORKSHEET ENTRIES NEEDED 12/31/14 CONNECTE F) DETERMINE 2014 CONSOLIDATED INCOME G) MAKE THE NECESSARY WORKSHEET ENTRIES NEEDED 12/31/15 CONNECTE H) DETERMINE 2015 CONSOLIDATED INCOME I) DETERMINE 2016 CONSOLIDATED INCOME J) DETERMINE 2017 CONSOLIDATED INCOME K MAKE THE JOURNAL ENTRY THE FIRST ORDER MAKES WHEN IT SELLS THE T L MAKE THE NECESSARY WORKSHEET ENTRIES NEEDED 12/31/18 CONNECTE M DETERMINE 2018 CONSOLIDATED INCOME RST ORDER COMPANY AT BOOK VALUE TIAL VALUE METHOD AND THE FIRST ORDER DOESN'T PAY DIVIDENDS CK IS EXPECTED TO LAST 12 YEARS OMPANY FOR $75,000. THE FIRST ORDER BELIEVES THE RDER ALSO USES STRAIGHT LINE DEPRECIATION EREST DUE 1/1/2015 NY FOR $55000. FOR THIS TRUCK LLS THE TRUCK TO THE FIRST ORDER WHEN IT BUYS THE TRUCK FROM YODA N EXPENSE FOR THIS TRUCK 2/31/14 CONNECTED WITH THIS TRUCK 2/31/15 CONNECTED WITH THIS TRUCK WHEN IT SELLS THE TRUCK IN 2018 2/31/18 CONNECTED WITH THIS TRUCK START HERE On 1/1/2000 Jack purchased 100% of the outstanding stock of Jill at book value Jack accounts for its investment in Jill using the initial value method and Jill does not pa On 10/1/16 Jack sold merchandise to Jill for $50,000 on credit The merchandise had On 12/31/16 Jill had not sold any of the inventory acquired from Jack and had not paid In 2017 Jill sold 80% of the merchandise acquired from Jack for $48000 and paid off Jac In 2018 Jill sold the other 20% of the merchandise from Jack for $19000 REQUIRED: A) USING PERPETUAL INVENTORY RECORD JACK'S JOURNAL ENTRY FOR T B) USING PERPETUAL INVENTORY RECORD JILL'S PURCHASE OF INVENTO C) MAKE ANY WORKSHEET ENTRIES NEEDED 12/31/16 DUE TO THIS INVE D) UNCONSOLILDATED, JACK REPORTED INCOME OF $500000 AND JILL R WHAT WAS CONSOLIDATED INCOME IN 2016? E) MAKE ANY WORKSHEET ENTRIES NEEDED 12/31/17 DUE TO THE INTRA F) UNCONSOLIDATED JACK REPORTED INCOME OF 650,000 AND JILL REP WHAT WAS CONSOLIDATED INCOME IN 2017? G) MAKE ANY WORKSHEET ENTRIES NEEDED 12/31/2018 DUE TO THE IN H) UNCONSOLIDATED JACK REPORTED INCOME OF $777000 AND JILL REP WHAT WAS CONSOLIDATED INCOME IN 2018? I) ON JANUARY 1 2016 JACK HAD UNCONSOLIDATED RETAINED EARNING RETAINED EARNINGS OF $3,000,000. WHAT WAS JACK'S UNCONSOLIDAT ON 12/31/16, 12/31/17 AND 12/31/18? NOTE: JACK ALSO DOES NOT PA Jill at book value hod and Jill does not pay dividends t The merchandise had cost Jack $30000 m Jack and had not paid off the accounts payable to Jack $48000 and paid off Jack $19000 JOURNAL ENTRY FOR THE SALE TO JILL PURCHASE OF INVENTORY 31/16 DUE TO THIS INVENTORY TRANSACTION OF $500000 AND JILL REPORTED INCOME OF $80000 31/17 DUE TO THE INTRA-COMPANY SALE OF INVENTORY F 650,000 AND JILL REPORTED INCOME OF $90000 31/2018 DUE TO THE INTRA-COMPANY SALE OF INVENTORY F $777000 AND JILL REPORTED INCOME OF $101,000 ED RETAINED EARNINGS OF $900,000 AND CONSOLIDATED JACK'S UNCONSOLIDATED AND CONSOLIDATED RETAINED EARNINGS JACK ALSO DOES NOT PAY DIVIDENDSStep by Step Solution
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