Prepare consolidation spreadsheet for intercompany sale of fand - Equity method Assume a parent compary acquired its subsidiary on /aniary 1,2020, at a purchase price that was $360,000 in eccets of the book vatue of the subsidiarys 5 tocikiolders. Equty on the acquisiben dafe. Of that excms, 3240.000 was insigned to an unresorded Patent owned by the subsitiary hhat is being ainortized over a 10 year penod i fhe [A] Patent asser tias been amorticed as part of the pagents equlty method accounting the remaining stzo.000 wos assigned to foodivil. in 2021 , the whiolly owned sosidiary sold Land to the parent for s14tooo. The ennd was reported on the subsidianys balance sheet for 396000 on the date of sale, The parent uses the equty method to account for its Equity iwivestment Financal staterinenis of the parent and its subsidiacy for the year ended December 31,2022 are preserited in d. below. a. Show the computation to yleid the 160,000 of income (iosa) from subsidiary reported by the parent for the year ended December 31,2022 Note Use a negative sign with an anwwer to indicate a reduction in the computation. b. Show the computation to yield the $636,000 Equity Investment account balance reported by the parent on December 31,2022. Note: Use a negative sign with an answer to indicate a reduction in the computation. Drenare the concolidation entries for the vear ended December 31. 2022. d. Prepare the consolidation spreadsheet for the year ended December 31,2022. Use negative signs with answers in the Consolidated column for Cost of goods sold, Operating expenses and Dividends. Prepare consolidation spreadsheet for intercompany sale of fand - Equity method Assume a parent compary acquired its subsidiary on /aniary 1,2020, at a purchase price that was $360,000 in eccets of the book vatue of the subsidiarys 5 tocikiolders. Equty on the acquisiben dafe. Of that excms, 3240.000 was insigned to an unresorded Patent owned by the subsitiary hhat is being ainortized over a 10 year penod i fhe [A] Patent asser tias been amorticed as part of the pagents equlty method accounting the remaining stzo.000 wos assigned to foodivil. in 2021 , the whiolly owned sosidiary sold Land to the parent for s14tooo. The ennd was reported on the subsidianys balance sheet for 396000 on the date of sale, The parent uses the equty method to account for its Equity iwivestment Financal staterinenis of the parent and its subsidiacy for the year ended December 31,2022 are preserited in d. below. a. Show the computation to yleid the 160,000 of income (iosa) from subsidiary reported by the parent for the year ended December 31,2022 Note Use a negative sign with an anwwer to indicate a reduction in the computation. b. Show the computation to yield the $636,000 Equity Investment account balance reported by the parent on December 31,2022. Note: Use a negative sign with an answer to indicate a reduction in the computation. Drenare the concolidation entries for the vear ended December 31. 2022. d. Prepare the consolidation spreadsheet for the year ended December 31,2022. Use negative signs with answers in the Consolidated column for Cost of goods sold, Operating expenses and Dividends
