Question
Parent owned 80% of Sub. In Year 1, Parent sold a trademark with a book value of $400,000 to Sub. The selling price was $700,000.
Parent owned 80% of Sub. In Year 1, Parent sold a trademark with a book value of $400,000 to Sub. The selling price was $700,000. The trademark has an indefinite useful life Sub sells the trademark in Year 3for $1,000,000 in cash. In Year 3, the gain on sale in consolidated net income should be:
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International Marketing And Export Management
Authors: Gerald Albaum , Alexander Josiassen , Edwin Duerr
8th Edition
1292016922, 978-1292016924
