Which of the following components is deducted to calculate the value of the Non-Controlling Interest (NCI)?

The NCIs share of the subsidiarys net loss

The NCIs share of the amortization of the excess of fair value over book value of assets and liabilities

All of these are correct

The NCIs share of the subsidiarys dividends to shareholders => incorrect

Question 2

0 / 1.25 pts

Company P acquired 90 percent of the common stock of Company S on 1/1/2020. During 2020, Company S reported a net income of $50,000 and dividends of $12,000. Company P uses the simple equity method to account for the investment in S. Which of the following entries is prepared by Company P when consolidating the financial statements for 2020?

Debit Subsidiary Income $45,000, Credit Investment in S $45,000

Debit Dividends Receivable $10,800, Credit Subsidiary Income $10,800. => incorrect

Debit Subsidiary Income $10,800, Credit Dividends Declared $10,800

Debit Investment in S $45,000, Credit Subsidiary Income $45,000