Preparing the comidation tries for sale of land www.me that during 2015 a wholly owned dry well and the opinally cost $360,000 for sale 25400,000. The rest bolds the land wait ses the a ffecompany on December 31, 2019. The rentes the equity method of pre-cost Pre their comodity 2015 A Deri ccount Acce reivabled depreciation APICCashCowme shockpoods were expliquity levemein on seoses Goodm antained AwAccounts payable AC sockCost of goods solda tion espenal quantiquity Investment on allows on loadinlanditained Prepare the required consolidation entry required und of each year 2016 through 2018 Description Debit Cru AwAccounts payable Towable Accumulated depreciation APIC of goods when investment in coeloso alodu y landietined Gaming Sales T able Accurated deprecAPICC Comune HockContofgood soldieprosto demolated s Awame that the parent s the land outside of the olidated group for $430,000 on December 31, 2019 pe the journal cutry made by the parent to record the ale and the required consolidation entry for 2019 Description Debit Cry AAA Tonic Acculated deprecia APC Common sockCost of goods soldepreciation experquiniquity i ntan Lowon caminSales ANA Ole And SCOLAPIOCCO will * deprecia APC Cash Common stock Cost of goods soldepreciation in a in on allows on waandisine caming Sales Anwee role Acced deprem APIC ocksted espere q uity and S only cost 000. The parent holds the land with and Deer The este equity of pro.com the qadi . Acom A ed depoimeno m stock of deprecie akiwand Ciwidey Land Prepare the required dodach year 2006 t comed h 2018 y D C ACES w Acced depreca Cost of wees om CityLanded ided you for Prepare the m ale and the required t he a de by the comidation or the www CE reciowe Anweb adierland wer ne cost of good o expect quis Annecy ed depan PCCC Stockfood proce Preparing the consolidation entries for sale of land Assume that during 2015 a wholly owned subsidiary sells land that originally cost $360,000 to its parent for a sale price of $400,000. The parent holds the land until it sells the land to an unaffiliated company on December 31, 2019. The parent uses the equity method of pre-consolidation bookkeeping. a. Prepare the required [l] consolidation entry in 2015. Description Debit Credit Answer Accounts payableAccounts receivable Accumulated depreciation APICCashCommon stockCost of goods soldDepreciation Answer Answer [lgain] expense Equipment Equity investment Gain on sale Loss on saleGoodwillInventory LandRetained earnings Sales Answer Accounts payableAccounts receivable Accumulated depreciation APICCashCommon stockCost of goods soldDepreciation Answer Answer expense Equipment Equity investment Gain on sale Loss on saleGoodwillInventory LandRetained earnings Sales b. Prepare the required [I] consolidation entry required at the end of each year 2016 through 2018. Description Debit Credit Answer Accounts payableAccounts receivable Accumulated depreciation APICCashCommon stockCost of goods soldDepreciation [lgain) Answer Answer expense Equipment Equity investment Gain on sale Loss on saleGoodwillinventory LandRetained earnings Sales Answer Accounts payableAccounts receivable Accumulated depreciationAPICCashCommon stockCost of goods soldDepreciation Answer Answer expense Equipment Equity investment Cain on saleloss on SAILUUUUWIIIIIVUMUIYLAMURLU 6:00 Sarnings Sales v LTE1 Messages b. Prepare the required [1] consolidation entry required at the end of each year 2016 through 2018. Description Debit Credit Answer Accounts payable Accounts receivableAccumulated depreciation APICCashCommon lgain] stockCost of goods soldDepreciation Answer Answer expense Equipment Equity investment Gain on sale Loss on saleGoodwillInventory LandRetained earnings Sales Answer Accounts payable Accounts receivable Accumulated depreciation APICCashCommon stockCost of goods soldDepreciation Answer Answer expense Equipment Equity investment Gain on sale Loss on saleGoodwillinventoryLandRetained earnings Sales c. Assume that the parent re-sells the land outside of the consolidated group for $420,000 on December 31, 2019. Prepare the journal entry made by the parent to record the sale and the required [I] consolidation entry for 2019. Debit Credit Answer Accounts payableAccounts receivable Accumulated depreciation APICCashCommon stockCost of goods soldDepreciation Answer Answer expense Equipment Equity investment Gain on sale Loss on saleGoodwillInventory LandRetained earnings Sales Answer Accounts payable Accounts receivable Accumulated depreciation APICCashCommon stockCost of goods soldDepreciation Answer Answer expense Equipment Equity investment Gain on sale Loss on saleGoodwillinventory LandRetained earnings Sales Land Answer Answer Answer Accounts payable ACCUMS 6:01 amnings Sales LTE Assume that the parent re-sells the land outside of the consolidated group for $420,000 on December 31, 2019 Prepare the journal entry made by the parent to record the sale and the required [1] consolidation entry for 2019. Description Answer Accounts payable Accounts receivableAccumulated depreciation APICCashCommon stockCost of goods soldDepreciation Answer Answer expense Equipment Equity investment Gain on sale Loss on saleGoodwillInventory LandRetained carnings Sales Answer Accounts payable Accounts receivable Accumulated depreciation APICCashCommon stockCost of goods soldDepreciation Answer Answer expense Equipment Equity investment Gain on sale Loss on saleGoodwillInventory LandRetained earnings Sales Land Answer Answer Answer Accounts payable Accounts receivableAccumulated depreciation APICCashCommon stockCost of goods soldDepreciation Ilgain Answer Answer expense Equipment Equity investmentGain on sale Loss on saleGoodwillInventory LandRetained earnings Sales Answer Accounts payableAccounts receivable Accumulated depreciation APICCashCommon stockCost of goods soldDepreciation "Answer Answer expense Equipment Equity investment Gain on sale Loss on saleGoodwillInventoryLandRetained carnings Sales d. What will be the amount of gain reported in the consolidated income statement in 2019? SAnswer Preparing the comidation tries for sale of land www.me that during 2015 a wholly owned dry well and the opinally cost $360,000 for sale 25400,000. The rest bolds the land wait ses the a ffecompany on December 31, 2019. The rentes the equity method of pre-cost Pre their comodity 2015 A Deri ccount Acce reivabled depreciation APICCashCowme shockpoods were expliquity levemein on seoses Goodm antained AwAccounts payable AC sockCost of goods solda tion espenal quantiquity Investment on allows on loadinlanditained Prepare the required consolidation entry required und of each year 2016 through 2018 Description Debit Cru AwAccounts payable Towable Accumulated depreciation APIC of goods when investment in coeloso alodu y landietined Gaming Sales T able Accurated deprecAPICC Comune HockContofgood soldieprosto demolated s Awame that the parent s the land outside of the olidated group for $430,000 on December 31, 2019 pe the journal cutry made by the parent to record the ale and the required consolidation entry for 2019 Description Debit Cry AAA Tonic Acculated deprecia APC Common sockCost of goods soldepreciation experquiniquity i ntan Lowon caminSales ANA Ole And SCOLAPIOCCO will * deprecia APC Cash Common stock Cost of goods soldepreciation in a in on allows on waandisine caming Sales Anwee role Acced deprem APIC ocksted espere q uity and S only cost 000. The parent holds the land with and Deer The este equity of pro.com the qadi . Acom A ed depoimeno m stock of deprecie akiwand Ciwidey Land Prepare the required dodach year 2006 t comed h 2018 y D C ACES w Acced depreca Cost of wees om CityLanded ided you for Prepare the m ale and the required t he a de by the comidation or the www CE reciowe Anweb adierland wer ne cost of good o expect quis Annecy ed depan PCCC Stockfood proce Preparing the consolidation entries for sale of land Assume that during 2015 a wholly owned subsidiary sells land that originally cost $360,000 to its parent for a sale price of $400,000. The parent holds the land until it sells the land to an unaffiliated company on December 31, 2019. The parent uses the equity method of pre-consolidation bookkeeping. a. Prepare the required [l] consolidation entry in 2015. Description Debit Credit Answer Accounts payableAccounts receivable Accumulated depreciation APICCashCommon stockCost of goods soldDepreciation Answer Answer [lgain] expense Equipment Equity investment Gain on sale Loss on saleGoodwillInventory LandRetained earnings Sales Answer Accounts payableAccounts receivable Accumulated depreciation APICCashCommon stockCost of goods soldDepreciation Answer Answer expense Equipment Equity investment Gain on sale Loss on saleGoodwillInventory LandRetained earnings Sales b. Prepare the required [I] consolidation entry required at the end of each year 2016 through 2018. Description Debit Credit Answer Accounts payableAccounts receivable Accumulated depreciation APICCashCommon stockCost of goods soldDepreciation [lgain) Answer Answer expense Equipment Equity investment Gain on sale Loss on saleGoodwillinventory LandRetained earnings Sales Answer Accounts payableAccounts receivable Accumulated depreciationAPICCashCommon stockCost of goods soldDepreciation Answer Answer expense Equipment Equity investment Cain on saleloss on SAILUUUUWIIIIIVUMUIYLAMURLU 6:00 Sarnings Sales v LTE1 Messages b. Prepare the required [1] consolidation entry required at the end of each year 2016 through 2018. Description Debit Credit Answer Accounts payable Accounts receivableAccumulated depreciation APICCashCommon lgain] stockCost of goods soldDepreciation Answer Answer expense Equipment Equity investment Gain on sale Loss on saleGoodwillInventory LandRetained earnings Sales Answer Accounts payable Accounts receivable Accumulated depreciation APICCashCommon stockCost of goods soldDepreciation Answer Answer expense Equipment Equity investment Gain on sale Loss on saleGoodwillinventoryLandRetained earnings Sales c. Assume that the parent re-sells the land outside of the consolidated group for $420,000 on December 31, 2019. Prepare the journal entry made by the parent to record the sale and the required [I] consolidation entry for 2019. Debit Credit Answer Accounts payableAccounts receivable Accumulated depreciation APICCashCommon stockCost of goods soldDepreciation Answer Answer expense Equipment Equity investment Gain on sale Loss on saleGoodwillInventory LandRetained earnings Sales Answer Accounts payable Accounts receivable Accumulated depreciation APICCashCommon stockCost of goods soldDepreciation Answer Answer expense Equipment Equity investment Gain on sale Loss on saleGoodwillinventory LandRetained earnings Sales Land Answer Answer Answer Accounts payable ACCUMS 6:01 amnings Sales LTE Assume that the parent re-sells the land outside of the consolidated group for $420,000 on December 31, 2019 Prepare the journal entry made by the parent to record the sale and the required [1] consolidation entry for 2019. Description Answer Accounts payable Accounts receivableAccumulated depreciation APICCashCommon stockCost of goods soldDepreciation Answer Answer expense Equipment Equity investment Gain on sale Loss on saleGoodwillInventory LandRetained carnings Sales Answer Accounts payable Accounts receivable Accumulated depreciation APICCashCommon stockCost of goods soldDepreciation Answer Answer expense Equipment Equity investment Gain on sale Loss on saleGoodwillInventory LandRetained earnings Sales Land Answer Answer Answer Accounts payable Accounts receivableAccumulated depreciation APICCashCommon stockCost of goods soldDepreciation Ilgain Answer Answer expense Equipment Equity investmentGain on sale Loss on saleGoodwillInventory LandRetained earnings Sales Answer Accounts payableAccounts receivable Accumulated depreciation APICCashCommon stockCost of goods soldDepreciation "Answer Answer expense Equipment Equity investment Gain on sale Loss on saleGoodwillInventoryLandRetained carnings Sales d. What will be the amount of gain reported in the consolidated income statement in 2019? S
