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On January 1, 2020. Mcilroy, Inc, acquired a 60 percent interest in the common stock of Stinson, Inc, for $383,400. Stinson's book value on that

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On January 1, 2020. Mcilroy, Inc, acquired a 60 percent interest in the common stock of Stinson, Inc, for $383,400. Stinson's book value on that date consisted of common stock of $100,000 and retained earnings of $226,700. Also, the acquisition-date fair value of the 40 percent noncontrolling interest was $255,600. The subsidiary held patents (with a 10-year remaining life) that were undervalued within the company's accounting records by $88,000 and an unrecorded customer list (15-year remaining life) assessed at a $63,900 fair value. Any remaining excess acquisition-date fair value was assigned to goodwill. Since acquisition, Mcilroy has applied the equity method to its investment in Stinson account and no goodwill impairment has occurred. At year-end, there are no intra-entity payables or receivables. Intra-entity inventory sales between the two companies have been made as follows: The individual financial statements for these two companies as of December 31,2021 , and the year then ended follow? (Note: Parentheses indicate a credit balance.) 0. Show how Mcllroy determined the $425,348 Investment in Stinson account balance. Assume that Mcliroy defers 100 percent of downstream intra-entity profits against its share of Stinson's income. b. Prepare a consolidated worksheet to determine appropriate balances for external financial reporting as of December 31 , 2021. a. Show how Mcilroy determined the $425,348 Investment in Stinson account balance. Assume that Mciliroy defers 100 percent of downstream intra-entity profits against its share of Stinson's income. b. Prepare a consolldated worksheet to determine appropriate balances for external financial reporting as of December 31,2021. Answer is not complete. Complete this question by entering your answers in the tabs below. Show how Mcilroy determined the $425,348 Investment in Stinson account balance. Assume that Mcilroy defers 100 percent of downstream intra-entity profits against its share of Stinson's income. (Amounts to be deducted should be indicated with a minus sign.)

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