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please help Parent acquired 70% of Subsidiary on June 30,20X0. Based on Parent's acquisition date fair value, an intangible of $300,000 was recognized and is
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Parent acquired 70% of Subsidiary on June 30,20X0. Based on Parent's acquisition date fair value, an intangible of $300,000 was recognized and is being amortized at the rate of $10,000 per year. Parent keeps their internal records on the initial value method. The 20Xl financial statements are as follov Parent sold Subsidiary inventory costing $72,000 during the last 6 months of 20X0 for $120,000. At year end, 30% remained. Parent sells Subsidiary inventory costing $200,000 during 20X1 for $250,000. At year end, 20% is left. With these facts, answer 8 of the following questions. a. The amount of unrealized intercompany profit from 20X1 inventory that should be eliminated in the consolidation process at the end of 20X1. b. The amount of 20X0 deferred intercompany profit from inventory that should be recognized in the consolidation process at the end of 20XI. Determine consolidated balances reportable on the 20XI consolidated financi c. Dividend Income e. Cost of Goods Sold f. Operating expenses 8. Inventory h. Noncontrolling interest in Subsidiary's net income i. Noncontrolling interest in Subsidiary j. Noncontrolling interest in Subsidiary's net income if the intercompany inventory sale had occurred from subsidiary to parent (upstream) Parent acquired 70% of Subsidiary on June 30,20X0. Based on Parent's acquisition date fair value, an intangible of $300,000 was recognized and is being amortized at the rate of $10,000 per year. Parent keeps their internal records on the initial value method. The 20Xl financial statements are as follov Parent sold Subsidiary inventory costing $72,000 during the last 6 months of 20X0 for $120,000. At year end, 30% remained. Parent sells Subsidiary inventory costing $200,000 during 20X1 for $250,000. At year end, 20% is left. With these facts, answer 8 of the following questions. a. The amount of unrealized intercompany profit from 20X1 inventory that should be eliminated in the consolidation process at the end of 20X1. b. The amount of 20X0 deferred intercompany profit from inventory that should be recognized in the consolidation process at the end of 20XI. Determine consolidated balances reportable on the 20XI consolidated financi c. Dividend Income e. Cost of Goods Sold f. Operating expenses 8. Inventory h. Noncontrolling interest in Subsidiary's net income i. Noncontrolling interest in Subsidiary j. Noncontrolling interest in Subsidiary's net income if the intercompany inventory sale had occurred from subsidiary to parent (upstream) Step by Step Solution
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