8-23 - P8-23 Consolidation Workpaper Year of

Info iconThis preview shows pages 1–3. Sign up to view the full content.

View Full Document Right Arrow Icon

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
This is the end of the preview. Sign up to access the rest of the document.

Unformatted text preview: P8-23 Consolidation Workpaper Year of RetirementBonds:Issuer=SEntireIntercoPurchaser=P12/21/x3Bonds Payable200,00050,00012/21/x3Investment in Bonds50,00012/21/x3Premium28,0007,000Bonds Payable = 57,000Bond Investment= 50,000Constr. Gain7,000Building P ----SCost40,000251,600AD16,000BV24,000151,60012/31/x1Sales Price30,000152,000Gain6,000400NBV 1/1/3 is 30,000-2,000Should be: 40,000 (16,000+1600) difference 5,600Equity method Entries:Investment in S18,000Income from S18,000NI 30,000 x 60%Cash6,000Investment in S6,000Dividend 10,000 x 60%a.Elimination Entries (not required):E(1)Income from Subsidiary18,000Dividends Declared6,000Investment in Brown Corporation12,000Eliminate income from subsidiary:$18,000 = $30,000 x .60E(2)Income to Noncontrolling Interest14,960Dividends Declared4,000Noncontrolling Interest10,960Assign income to noncontrolling interest:$14,960 = ($30,000 + $7,000 + $400) x .40E(3)Common Stock100,000Retained Earnings, January 150,000Investment in Brown Stock90,000...
View Full Document

This note was uploaded on 04/18/2008 for the course ACCT cost taught by Professor Staff during the Spring '08 term at Oklahoma State.

Page1 / 4

8-23 - P8-23 Consolidation Workpaper Year of

This preview shows document pages 1 - 3. Sign up to view the full document.

View Full Document Right Arrow Icon
Ask a homework question - tutors are online