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Need help with parts D and E. Please and thank you. begin{tabular}{|c|c|c|c|c|c|} hline multicolumn{6}{|c|}{ Consolidated Financial Statement Worksheet } hline multicolumn{6}{|c|}{ December 31, 202}
Need help with parts D and E. Please and thank you.
\begin{tabular}{|c|c|c|c|c|c|} \hline \multicolumn{6}{|c|}{ Consolidated Financial Statement Worksheet } \\ \hline \multicolumn{6}{|c|}{ December 31, 202} \\ \hline & \multirow{2}{*}{PorterCompany} & \multirow{2}{*}{ Service Company } & \multicolumn{2}{|c|}{ Consolidation Entries } & \multirow{2}{*}{ - Consolidated } \\ \hline & & & Debit & Credit & \\ \hline \multicolumn{6}{|l|}{ Income Statement } \\ \hline \multicolumn{6}{|l|}{ Sales } \\ \hline \multicolumn{6}{|l|}{ Interest Income } \\ \hline \multicolumn{6}{|l|}{ Less: COGS } \\ \hline \multicolumn{6}{|l|}{ Less: Depreciation Expense } \\ \hline \multicolumn{6}{|l|}{ Less: Interest Expenses } \\ \hline \multicolumn{6}{|l|}{ Income from Service Company } \\ \hline Consolidated Net Income & 0 & 0 & 0 & 0 & 0 \\ \hline \multicolumn{6}{|l|}{NCl in Net Income } \\ \hline Controlling Interest in Net Income & 0 & 0 & 0 & 0 & 0 \\ \hline \multicolumn{6}{|l|}{ Statement of Retained Earnings } \\ \hline \multicolumn{6}{|l|}{ Beginning Balance } \\ \hline \multicolumn{6}{|l|}{ Net Income } \\ \hline \multicolumn{6}{|l|}{ Less: Dividends Declared } \\ \hline Ending Balance & 0 & 0 & 0 & 0 & 0 \\ \hline \multicolumn{6}{|l|}{ Balance Sheet } \\ \hline \multicolumn{6}{|l|}{ Assets } \\ \hline \multicolumn{6}{|l|}{ Cash and Accounts Receivable } \\ \hline \multicolumn{6}{|l|}{ Inventory } \\ \hline \multicolumn{6}{|l|}{ Buildings and Equipment } \\ \hline \multicolumn{6}{|l|}{ Less: Accumulated Depreciation } \\ \hline \multicolumn{6}{|l|}{ Investment in Porter Company Bonds } \\ \hline \multicolumn{6}{|l|}{ Investment in Service Corporation Stock } \\ \hline Total Assets & 0 & 0 & 0 & 0 & 0 \\ \hline \multicolumn{6}{|l|}{ Liabilities and Equity } \\ \hline Accounts Payable & & & & & \\ \hline \end{tabular} Prepare the consolidation entries needed to complete a consolidated worksheet for 202. Note: If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Do not round your intermediate calculations. Round your final answers to nearest whole dollar. repare the journal entry or entries for 202 on Service's books related to its investment in Porter's bonds. Jote: If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Do not round your ntermediate calculations. Round your final answers to nearest whole dollar. Prepare the journal entry or entries for 202 on Porter's books related to its bonds payable. Note: If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Do not round your intermediate calculations. Round your final answers to nearest whole dollar. Prepare the journal entry or entries for 202 on Porter's books related to its investment in Service. Note: If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Do not round your intermediate calculations. Round your final answers to nearest whole dollar. Required D Porter Company purchased 60 percent ownership of Service Corporation on January 1, 20X1, at underlying book value. At that date, the fair value of the noncontrolling interest was equal to 40 percent of Service's book value. On January 1, 20X1, Porter sold $71,000 par value, 8 percent, five-year bonds directly to Service for $73,000 and the market interest rate was 7 percent. The bonds pay interest annually on December 31. Porter uses the fully adjusted equity method in accounting for its ownership of Service. On December 31, 20X2, the trial balances of the two companies are as follows: Note: Assume using straight-line amortization of bond discount or premium. Required: a. Prepare the journal entry or entries for 202 on Porter's books related to its investment in Service. b. Prepare the journal entry or entries for 202 on Porter's books related to its bonds payable. c. Prepare the journal entry or entries for 202 on Service's books related to its investment in Porter's bonds. d. Prepare the consolidation entries needed to complete a consolidated worksheet for 202. e. Prepare a three-part consolidated worksheet for 202. \begin{tabular}{|c|c|c|c|c|c|} \hline \multicolumn{6}{|c|}{ Consolidated Financial Statement Worksheet } \\ \hline \multicolumn{6}{|c|}{ December 31, 202} \\ \hline & \multirow{2}{*}{PorterCompany} & \multirow{2}{*}{ Service Company } & \multicolumn{2}{|c|}{ Consolidation Entries } & \multirow{2}{*}{ - Consolidated } \\ \hline & & & Debit & Credit & \\ \hline \multicolumn{6}{|l|}{ Income Statement } \\ \hline \multicolumn{6}{|l|}{ Sales } \\ \hline \multicolumn{6}{|l|}{ Interest Income } \\ \hline \multicolumn{6}{|l|}{ Less: COGS } \\ \hline \multicolumn{6}{|l|}{ Less: Depreciation Expense } \\ \hline \multicolumn{6}{|l|}{ Less: Interest Expenses } \\ \hline \multicolumn{6}{|l|}{ Income from Service Company } \\ \hline Consolidated Net Income & 0 & 0 & 0 & 0 & 0 \\ \hline \multicolumn{6}{|l|}{NCl in Net Income } \\ \hline Controlling Interest in Net Income & 0 & 0 & 0 & 0 & 0 \\ \hline \multicolumn{6}{|l|}{ Statement of Retained Earnings } \\ \hline \multicolumn{6}{|l|}{ Beginning Balance } \\ \hline \multicolumn{6}{|l|}{ Net Income } \\ \hline \multicolumn{6}{|l|}{ Less: Dividends Declared } \\ \hline Ending Balance & 0 & 0 & 0 & 0 & 0 \\ \hline \multicolumn{6}{|l|}{ Balance Sheet } \\ \hline \multicolumn{6}{|l|}{ Assets } \\ \hline \multicolumn{6}{|l|}{ Cash and Accounts Receivable } \\ \hline \multicolumn{6}{|l|}{ Inventory } \\ \hline \multicolumn{6}{|l|}{ Buildings and Equipment } \\ \hline \multicolumn{6}{|l|}{ Less: Accumulated Depreciation } \\ \hline \multicolumn{6}{|l|}{ Investment in Porter Company Bonds } \\ \hline \multicolumn{6}{|l|}{ Investment in Service Corporation Stock } \\ \hline Total Assets & 0 & 0 & 0 & 0 & 0 \\ \hline \multicolumn{6}{|l|}{ Liabilities and Equity } \\ \hline Accounts Payable & & & & & \\ \hline \end{tabular} Prepare the consolidation entries needed to complete a consolidated worksheet for 202. Note: If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Do not round your intermediate calculations. Round your final answers to nearest whole dollar. repare the journal entry or entries for 202 on Service's books related to its investment in Porter's bonds. Jote: If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Do not round your ntermediate calculations. Round your final answers to nearest whole dollar. Prepare the journal entry or entries for 202 on Porter's books related to its bonds payable. Note: If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Do not round your intermediate calculations. Round your final answers to nearest whole dollar. Prepare the journal entry or entries for 202 on Porter's books related to its investment in Service. Note: If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Do not round your intermediate calculations. Round your final answers to nearest whole dollar. Required D Porter Company purchased 60 percent ownership of Service Corporation on January 1, 20X1, at underlying book value. At that date, the fair value of the noncontrolling interest was equal to 40 percent of Service's book value. On January 1, 20X1, Porter sold $71,000 par value, 8 percent, five-year bonds directly to Service for $73,000 and the market interest rate was 7 percent. The bonds pay interest annually on December 31. Porter uses the fully adjusted equity method in accounting for its ownership of Service. On December 31, 20X2, the trial balances of the two companies are as follows: Note: Assume using straight-line amortization of bond discount or premium. Required: a. Prepare the journal entry or entries for 202 on Porter's books related to its investment in Service. b. Prepare the journal entry or entries for 202 on Porter's books related to its bonds payable. c. Prepare the journal entry or entries for 202 on Service's books related to its investment in Porter's bonds. d. Prepare the consolidation entries needed to complete a consolidated worksheet for 202. e. Prepare a three-part consolidated worksheet for 202Step by Step Solution
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