The partial trial balances of P Co and S Co at December 31, Year 10, were as follows P Co S Co Dr Cr Dr Cr Investment in S Co 252,000 Common shares 168,000 204,000 Retained earnings, beginning of year 149,000 82,000 Additional Information The investment in the shares of S Co (a 90 interest) was acquired January 2, Year 6, for $252,000 At that time, the shareholders equity of S Co was common shares of $204,000 and retained earnings of $38,000 and the common shares for P Co of $168,000 Net incomes of the two companies for the year were as follows P Co $78,000 S Co 66,000 During Year 10, sales of P Co to S Co were $28,000, and sales of S Co to P Co were $68,000 Rates of gross profit on intercompany sales in Years 9 and 10 were 30 of sales On December 31, Year 9, the inventory of P Co included $25,000 of merchandise purchased from S Co , and the inventory of S Co included $21,000 of merchandise purchased from P Co On December 31, Year 10, the inventory of P Co included $38,000 of merchandise purchased from S Co , and the inventory of S Co included $23,000 of merchandise purchased from P Co During the year ended December 31, Year 10, P Co paid dividends of $30,000 and S Co paid dividends of $28,000 At the time that P Co purchased the shares of S Co , the acquisition differential was allocated to patents of S Co These patents are being amortized for consolidation purposes over a period of five years In Year 8, land that originally cost $58,000 was sold by S Co to P Co for $69,800 The land is still owned by P Co Assume a corporate tax rate of 40 Required Prepare a consolidated statement of changes in equity for the year ended December 31, Year 10 (Leave no cells blank be certain to enter 0 wherever required Negative amounts should be indicated by a minus sign Omit $ sign in your response ) P Co Consolidated Statement of Changes in Equity For Year Ended December 31, Year 10 Common Shares Retained Earnings Total Non controlling Interest Total Balance, beginning of year $ $ $ $ $ (Click to select) Add Net income Less Net income (Click to select) Add Dividends Less Dividends Retained earnings, Dec 31 $ $ $ $ $

Question

The partial trial balances of P Co  and S Co  at December 31, Year 10, were as follows  P Co  S Co  Dr Cr  Dr Cr  Investment in S  Co  252,000 Common shares 168,000 204,000 Retained earnings, beginning of year 149,000 82,000 Additional Information The investment in the shares of S Co  (a 90  interest) was acquired January 2, Year 6, for $252,000  At that time, the shareholders equity of S Co  was common shares of $204,000 and retained earnings of $38,000 and the common shares for P Co  of $168,000  Net incomes of the two companies for the year were as follows  P Co  $78,000 S Co  66,000 During Year 10, sales of P Co  to S Co  were $28,000, and sales of S Co  to P Co  were $68,000  Rates of gross profit on intercompany sales in Years 9 and 10 were 30  of sales  On December 31, Year 9, the inventory of P Co  included $25,000 of merchandise purchased from S Co , and the inventory of S Co  included $21,000 of merchandise purchased from P Co  On December 31, Year 10, the inventory of P Co  included $38,000 of merchandise purchased from S Co , and the inventory of S Co  included $23,000 of merchandise purchased from P Co  During the year ended December 31, Year 10, P Co  paid dividends of $30,000 and S Co  paid dividends of $28,000  At the time that P Co  purchased the shares of S Co , the acquisition differential was allocated to patents of S Co  These patents are being amortized for consolidation purposes over a period of five years  In Year 8, land that originally cost $58,000 was sold by S Co  to P Co  for $69,800  The land is still owned by P Co  Assume a corporate tax rate of 40   Required  Prepare a consolidated statement of changes in equity for the year ended December 31, Year 10  (Leave no cells blank   be certain to enter  0  wherever required  Negative amounts should be indicated by a minus sign  Omit $ sign in your response ) P Co  Consolidated Statement of Changes in Equity For Year Ended December 31, Year 10 Common Shares Retained Earnings Total Non controlling Interest Total Balance, beginning of year $ $ $ $ $ (Click to select) Add  Net income Less  Net income (Click to select) Add  Dividends Less  Dividends Retained earnings, Dec  31 $ $ $ $ $

Accepted Answer

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P Co.
Consolidated Statement of Changes in Equity
For Year Ended December 31, Year 10
	Common Shares	Retained Earnings	Total	Non-controlling Interest	Total
Balance, beginning of year	$	$	$	$	$
(Click to select) Add: Net income Less: Net income
(Click to select) Add: Dividends Less: Dividends
Retained earnings, Dec. 31	$	$	$	$	$

Question

The partial trial balances of P Co. and S Co. at December 31, Year 10, were as follows: P Co. S Co. Dr Cr. Dr

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	*P Co.*		*S Co.*
	Dr	Cr.	Dr	Cr.
Investment in S. Co.	252,000
Common shares		168,000		204,000
Retained earnings, beginning of year		149,000		82,000