3. 4. 5. Assume Weisman uses the equity method to account for its investment in Martindale. What is the balance in the pre-consolidation Income (loss) from subsidiary account for 2021? $136,000 $140,800 a. b. C. d. Assume Weisman uses the equity method to account for its investment in Martindale. What is the balance in pre-consolidation Income (loss) from subsidiary for 2022? a. b. $141,600 $142,800 C. d. $235,000 $264,600 $265,400 $268,600 What would be the net debit or credit to cost of goods sold on the 2021 consolidation worksheet?
3. 4. 5. Assume Weisman uses the equity method to account for its investment in Martindale. What is the balance in the pre-consolidation Income (loss) from subsidiary account for 2021? $136,000 $140,800 a. b. C. d. Assume Weisman uses the equity method to account for its investment in Martindale. What is the balance in pre-consolidation Income (loss) from subsidiary for 2022? a. b. $141,600 $142,800 C. d. $235,000 $264,600 $265,400 $268,600 What would be the net debit or credit to cost of goods sold on the 2021 consolidation worksheet?
Intermediate Accounting: Reporting And Analysis
3rd Edition
ISBN:9781337788281
Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Chapter22: Accounting For Changes And Errors.
Section: Chapter Questions
Problem 2P
Related questions
Question
![Weisman Company, a 100% owned subsidiary of Martindale Corporation, sells inventory to Martindale at
a 20% profit on selling price. The following data are available pertaining to inter-company purchases by
Martindale:
4.
5.
a.
b.
Weisman's profit numbers were $125,000, $142,000 and $265,000 for 2020, 2021, and 2022,
respectively. Martindale received dividends from Weisman of $25,000 for 2020 and 2021, and $30,000
for 2022.
C.
d.
3. Assume Weisman uses the equity method to account for its investment in Martindale. What is the
balance in the pre-consolidation Income (loss) from subsidiary account for 2021?
$136,000
a.
b.
Inter-company sales
$18,000
$19,400
$21,500
C.
d.
2020:
2021:
2022:
a.
b.
C.
d.
$140,800
$141,600
$142,800
Assume Weisman uses the equity method to account for its investment in Martindale. What is the
balance in pre-consolidation Income (loss) from subsidiary for 2022?
Unsold at year end
(based on selling price)
2020:
2021:
2022:
$235,000
$264,600
$265,400
$268,600
$4,000
$6,000
$8,000
What would be the net debit or credit to cost of goods sold on the 2021 consolidation worksheet?
$19,000 credit
$19,800 credit
$21,400 credit
$ 400 debit](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fb88d8880-5697-4108-8546-d360487ae3d7%2Feded6856-5575-4eb2-aad5-72d30872a8cb%2Fa03duz_processed.jpeg&w=3840&q=75)
Transcribed Image Text:Weisman Company, a 100% owned subsidiary of Martindale Corporation, sells inventory to Martindale at
a 20% profit on selling price. The following data are available pertaining to inter-company purchases by
Martindale:
4.
5.
a.
b.
Weisman's profit numbers were $125,000, $142,000 and $265,000 for 2020, 2021, and 2022,
respectively. Martindale received dividends from Weisman of $25,000 for 2020 and 2021, and $30,000
for 2022.
C.
d.
3. Assume Weisman uses the equity method to account for its investment in Martindale. What is the
balance in the pre-consolidation Income (loss) from subsidiary account for 2021?
$136,000
a.
b.
Inter-company sales
$18,000
$19,400
$21,500
C.
d.
2020:
2021:
2022:
a.
b.
C.
d.
$140,800
$141,600
$142,800
Assume Weisman uses the equity method to account for its investment in Martindale. What is the
balance in pre-consolidation Income (loss) from subsidiary for 2022?
Unsold at year end
(based on selling price)
2020:
2021:
2022:
$235,000
$264,600
$265,400
$268,600
$4,000
$6,000
$8,000
What would be the net debit or credit to cost of goods sold on the 2021 consolidation worksheet?
$19,000 credit
$19,800 credit
$21,400 credit
$ 400 debit
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