Answered step by step
Verified Expert Solution
Question
1 Approved Answer
t Plaster, Inc, holds 80 percent of Stucco Company's outstanding common stock. The following selected consolidated Inancial statements infomation are for 2019 and 2020 (credit
t Plaster, Inc, holds 80 percent of Stucco Company's outstanding common stock. The following selected consolidated Inancial statements infomation are for 2019 and 2020 (credit balances indicated by parentheses) Plaster, Inc., and Consolidated Subsidiary Stucco 2019 2020 Retained earnings, 1/11 $(620,000) $(762,000) Not income (262,000) (338,000) Retained eamings, 12/31 $(762,000) $880,000) Cash $180,000 $240,000 Accounts receivable) 340,000 300,000 Inventory 420.000 720,000 Buildings and equipment (net) 1,300,000 1,420,000 Databases 340,000 310,000 Accounts payable $(320,000) $220,000) Bonds payable (820,000) Noncontrolling interest in Stucco (84,000) (122,000) Common stock (220,000): (280,000) Activate Windows (1,040,000) Go to PC use actate Wed Uestion Completion Statu Accounes payaony Bonds payable DOU MARKO (820,000) Noncontrolling interest in Stucco (1,040,000 (84,000) (122,000) Common stock (220,000) (200,000) Revenues Additional paid in capital Cost of goods sold Depreciation and amortization Loss on sale of equipment Interest expense Consolidated net income to noncontrolling interest to parent company (374,000) (448,000) 5(1,800,000) S02060,000) 1220,000 1,300,000 200,000 240,000 0- 60,000 80,000 00,000 38,000 42,000 $262,000) $(338,000) Additional Information for 2020: The subsidiary purchased a building on 10 April for $410,000 in cash Amortization of databases amounts to $30,000 por your The parent issued stock for cash on 1 July The parent sold equipment with a cost of $160,000 but a $80,000 book value for cash on August 201 During the year, the subsidiary paid dividends of $20,000. Both parent and subsidiary pay dividends in the same year as declared The parent issued bonds during the year for cash The only changes affecting retained earnings are not income and cash dividends paid Required: Activate Windows Go to FC go widows mess combination for the year ending December 31, 2020, using the indirect method
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started