QUESTION 8 Ole Miss Inc, owned all of LSU Co The subsidiary had bonds payable outstanding on January 1, 2019, with a book value of $265,000 The parent acquired the bonds on that date for $288,000 Subsequently, Ole Miss reported interest income of $26,000 in 2019 while LSU reported interest expense of $29,000 Consolidated financial statements were prepared for 2020 What adjustment would have been required in the consolidated worksheet (elimination entries) for the retained earnings in 20207 O reduction (debit) of $19,000 reduction (debit) of $27,000 reduction (debit) of $30,000 reduction (debit) of $20,000 None of the above

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QUESTION 8 Ole Miss Inc, owned all of LSU Co  The subsidiary had bonds payable outstanding on January 1, 2019, with a book value of $265,000  The parent acquired the bonds on that date for $288,000  Subsequently, Ole Miss reported interest income of $26,000 in 2019 while LSU reported interest expense of $29,000  Consolidated financial statements were prepared for 2020  What adjustment would have been required in the consolidated worksheet (elimination entries) for the retained earnings in 20207 O reduction (debit) of $19,000  reduction (debit) of $27,000 reduction (debit) of $30,000 reduction (debit) of $20,000  None of the above

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QUESTION 8 Ole Miss Inc, owned all of LSU Co. The subsidiary had bonds payable outstanding on January 1, 2019, with a book value of

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