Question 4 Partially correct Mark 1.00 out of 4.00 P Flag question Consolidated amounts when affiliate's debt is acquired from non-affiliate Assume that a Parent company owns 100 percent of its Subsidiary. On December 31, 2 The bond was originally issued to an unaffiliated company. On that same date, the Sub consolidation) income from its own operations (i.e., prior to any equity method adjust consolidation) income from its own operations. Related to the bond during 2019, the p 31, 2019 recorded interest income of $67,500. Determine the following amounts that will appear in the 2019 consolidated income sta Note: Use a negative sign with your answer to indicate a loss on constructive retiremer Account Amount a. Interest income from bond investment $ 0 b. Interest expense on bond payable $ 24,000 x C. Gain (Loss) on constructiveretirement of bond payable. $ OX d. Consolidate net income 304,000 X LA LA Check n non-affiliate ary. On December 31, 2019, the Parent company had a $600,000 (face) bond payable outstanding with a carrying value of $630,000. hat same date, the Subsidiary acquired the bond for $594,000. During 2019, the Parent company reported $270,000 of (pre- equity method adjustments by the Parent company) and after recording interest expense. The Subsidiary reported $150,000 of (pre- ond during 2019, the parent reported interest expense of $67,500. The unaffiliated company that held the bond prior to December onsolidated income statement: constructive retirement of bond payable, if applicable. 0 OX OX OX Consolidated amounts when affiliate's debt is acquired from non-affiliate Assume that a Parent company owns 100 percent of its subsidiary, On December 31, 2019. the Parent company had a $600,000 (face) bond payable outstanding with a carrying value of 5630,000 The bord was originally issued to an unaffiliated company, on that same date, the Subsidiary acquired the bond for $594.000. During 2017, the parent company reported $270.000 ottore consolidation income from its own operations de prior to any equity method adjustments by the Parent company and after recording interest expense. The Subsidiary reported $150.000 of pre consolidation Income from its own operations. Related to the bond during 2019. the parent reported interest expense of $67.500. The nated company that held the bond prior to December 31, 2019 recorded interest income of 567 500 Determine the following amounts that will appear in the 2019 consolidated income statement Note: Use a negative sign with your answer to indicate a loss on constructive retirement of bond payable, if applicable Account Amount a interest income from bond investment D. Interest experts on bond patie cinson constructiverectement of bond payable 24000 OX 304.000 K . Consdatenet.com