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please do this question i will give you upwote thumb Pee Company acquired 80% in See Company for $800,000 on Jan 1, 2019, when See
please do this question i will give you upwote thumb
Pee Company acquired 80% in See Company for $800,000 on Jan 1, 2019, when See had $700,000 capital stock and $200,000 retained earnings. The excess of fair over book value relates to the goodwill. Pee acquired 60% in Bee for $240,000 on Jan 1, 2019, when Bee had $250,000 capital stock and $50,000 retained earnings. See acquired 40% in Bee on Jan 1, 2019 for $80,000, when Bee had $100,000 capital stock and $20,000 retained earnings. The excess of fair over book value relates to goodwill. During 2018, Pee Company sold goods to See Company at a profit of $30,000. This merchandise was sold during 2019. Bee Company sold merchandise that had cost $180,000 to See Company for $200,000 during 2019. Half of this merchandise is held by See at December 31, 2019. Required: Compute all missing and required data then prepare the consolidated financial statements for the year ended December 31, 2019. Consolidated Eliminations Debit Credit Pee See Bee INCOME STATEMENT Sales 600,000 400,000 200,000 Income from See Income from Bee Cost of Sales 300,000) 150,000) 50,000) Other Expenses (100.000 50.000) 50.000) 452,000 240,000 100.000 150,000 50,000 50,000 (50,000) 100,000) 50,000) 190,000 100,000 MI Expense See MI Expense Bee Net income Retained Earnings 1/1/19 Less: Dividends Retained Earnings 12/31/19 BALANCE SHEET: Cash Accounts receivable Inventories plant assets-net Investment in See: 75% Investment in Bee: 60%+ 30% Goodwill 200,000 280,000 166,000 100,000 300,000 220.000 200.000 400.000 1,162,800 344,000 100,000 120,000 134,000 90,000 320.000 2,372,800 1,100,000 $664,000 TOTAL ASSETS LIAB. & EQUITY Accounts payable Capital Stock Retained Earnings 12/31 NC Interest 800,000 80,000 1,000,000 830,000 190,000 40,000 524,000 100,000 TOTAL LIAB. & EQUITY Pee Company acquired 80% in See Company for $800,000 on Jan 1, 2019, when See had $700,000 capital stock and $200,000 retained earnings. The excess of fair over book value relates to the goodwill. Pee acquired 60% in Bee for $240,000 on Jan 1, 2019, when Bee had $250,000 capital stock and $50,000 retained earnings. See acquired 40% in Bee on Jan 1, 2019 for $80,000, when Bee had $100,000 capital stock and $20,000 retained earnings. The excess of fair over book value relates to goodwill. During 2018, Pee Company sold goods to See Company at a profit of $30,000. This merchandise was sold during 2019. Bee Company sold merchandise that had cost $180,000 to See Company for $200,000 during 2019. Half of this merchandise is held by See at December 31, 2019. Required: Compute all missing and required data then prepare the consolidated financial statements for the year ended December 31, 2019. Consolidated Eliminations Debit Credit Pee See Bee INCOME STATEMENT Sales 600,000 400,000 200,000 Income from See Income from Bee Cost of Sales 300,000) 150,000) 50,000) Other Expenses (100.000 50.000) 50.000) 452,000 240,000 100.000 150,000 50,000 50,000 (50,000) 100,000) 50,000) 190,000 100,000 MI Expense See MI Expense Bee Net income Retained Earnings 1/1/19 Less: Dividends Retained Earnings 12/31/19 BALANCE SHEET: Cash Accounts receivable Inventories plant assets-net Investment in See: 75% Investment in Bee: 60%+ 30% Goodwill 200,000 280,000 166,000 100,000 300,000 220.000 200.000 400.000 1,162,800 344,000 100,000 120,000 134,000 90,000 320.000 2,372,800 1,100,000 $664,000 TOTAL ASSETS LIAB. & EQUITY Accounts payable Capital Stock Retained Earnings 12/31 NC Interest 800,000 80,000 1,000,000 830,000 190,000 40,000 524,000 100,000 TOTAL LIAB. & EQUITYStep by Step Solution
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