Question
Mickey Mouse Ltd owns 85% of Donald Duck Ltd. During 2018 Mickey Mouse Ltd sells inventory for $750,000 to Donald Duck Ltd at a mark-up
Mickey Mouse Ltd owns 85% of Donald Duck Ltd. During 2018 Mickey Mouse Ltd sells inventory for $750,000 to Donald Duck Ltd at a mark-up of 25% above cost. At the end of the financial year 50% of the inventory was unsold. What is the work paper journal entry to eliminate the effects of the intercompany sale?
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Principles Of Financial Accounting
Authors: John J. Wild, Ken W. Shaw, Barbara Chiappetta
21st Edition
0077525264, 978-0077525262
