Question
Provided are the consolidated trial balances of a parent and its less-than-wholly-owned subsidiary. Account Dr (Cr) Current assets $ 4,000 Property, net 95,000 Intangible assets,
Provided are the consolidated trial balances of a parent and its less-than-wholly-owned subsidiary.
| Account | Dr (Cr) |
| Current assets | $ 4,000 |
| Property, net | 95,000 |
| Intangible assets, net | 15,000 |
| Goodwill | 100,000 |
| Liabilities | (180,140) |
| Capital stock | (10,000) |
| Retained earnings, beginning | (16,000) |
| Accumulated other comprehensive income, beginning | (500) |
| Noncontrolling interest | (2,000) |
| Dividends | 500 |
| Sales revenue | (390,000) |
| Cost of sales and operating expenses | 385,000 |
| Other comprehensive income | (1,000) |
| Noncontrolling interest in net income | 150 |
| Noncontrolling interest in other comprehensive loss | (10) |
| Total | $ 0 |
On the consolidated balance sheet, consolidated retained earnings at the end of the year is:
| A. | $20,850 | |
| B. | $20,500 | |
| C. | $16,000 | |
| D. | $20,350 |
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Sound Investing, Chapter 23 - Internal Control
Authors: Kate Mooney
1st Edition
0071719458, 9780071719452
