Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

urgent please Q1- Company P purchased 70H stock in Company S on Jan 1, 20xi foe 5200,000 . For the year 20X1. Campany $ reported

urgent please
image text in transcribed
Q1- Company P purchased 70H stock in Company S on Jan 1, 20xi foe 5200,000 . For the year 20X1. Campany $ reported the net income of $100,000 and paid diviJenda af 540,000 At year cnd, investment account in the books of Company P had a fair market value of \$225,000, Under the fair value method, the untealixed gain accoumt will be erodited aith. at 50 b- 525,000 c- 553,000 d- 567,000 Q2- Phips Co. purchases 109 percent of Sips Company on January 1, 20x2, when Phips" tetaincd earnings balance is $422,000 and Sipe' RE halance is 5120,000 . During 201x2, Sips roports 530,000 of net income and declares 58,000 of dividende. Phips reports $145,000 of separate operating earnings ples 530,000 of equity method income from ita 100 percenh interent in Sips, Phaps declares dividends of 535,000 . What is the consolidamed retainod earnings bal ance on December 31, 20X2 in the consolidsed retained eamings itaxement? a- 5402,000 b- 5410,000 c- 5340,000 S. $562,000 Q3. On January 3, 20X9, Redding Compary acquired 80 percent of Trarer Carpotarionis cornmoa stock for $344,000 an 80% of book value in cash. At the acquisition dite, the bool values and fair values of Frazer's bet assets was equal. The stockholden' equity accocants of the two companies at the acquisition date are: What ameunt will be assigned to the noocottrolling interest of Jaruary 1,20xy, in the consolidated bal ance sheet? a-586,000b.544,000c$68,800d550,000 Q4- On January 3, 20X9, Redding Company acquired 30 pereent of Frarer Comporationti Qemmon stock for 5344,000 at B0W of book value in cash. At the acquisition dite, the book consenon siock for 544,000 at 60% of hook value in cash- At the acquisian disc, the book. 209?a-5700,000b-5500,000c5200,000i.5500,000

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

The Information Audit A Practical Guide

Authors: Susan Henczel, Sue Henczel

1st Edition

3598243677, 978-3598243677

More Books

Students also viewed these Accounting questions

Question

4. Does cultural aptitude impact ones emotional intelligence?

Answered: 1 week ago