Acct412 gdb4

Acct412 gdb4 - 90% Summit's share of reported income...

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Operating income Dividends paid Excess amortizations Summit $345,000 $150,000 Treeline $280,000 $100,000 $20,000 Basecamp $175,000 $40,000 $25,000 Ownership percentages Summit to Treeline 90% Treeline to Basecamp 70% Treeline's share of Basecamp income: Basecamp operating income $175,000 Excess amortization -25,000 Accrual based income $150,000 Treeline ownership percentage 70% Equity income from Basecamp $105,000 Summit's share of Treeline income: Treeline operating income $280,000 Equity income from Basecamp $105,000 Excess amortization -20,000 Treeline adjusted income $365,000 Summit ownership percentage
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Unformatted text preview: 90% Summit's share of reported income $328,500 Controlling interest in net income Summit's operating income $345,000 Equity earnings in Treeline and Basecamp $328,500 Summit's net income $673,500 Comparison Consolidated net income (operating incomes less amortizations) $755,000 Noncontrolling interest in consolidated net income (30%*$150,000 plus 10% * $365,000) $81,500 Controlling interest in consolidated net income $673,500 Difference between Summit's net income and controlling interest in consolidated net income = $0...
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This note was uploaded on 10/19/2011 for the course ACCT 412 taught by Professor D during the Fall '11 term at Lee.

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