Compute for the consolidated net income.

Q: On January 1, 2021, Herwin Company acquired 40%of GIC Company by purchasing 8,000 shares for…

A: Solution Given % acquired by Herwin 40% Number of shares purchased 8000 Purchase…

Q: On January 1, 2019, Uncle Company purchased 80 percent of Nephew Company's capital stock for…

A: Computation of excess fair value and book valueParticularsAmount($)Consideration Paid500000Add: Non…

Q: g book value.  The fair value of the non-controlling interest at the date of acquisition was equal…

A: Cost of goods sold refers to the expense incurred by a company in producing some goods or products.…

Q: ABC Corp purchased 95% of the stock of DEF Company on January 2021. On that date, the book value of…

A: Following is the consolidated net income

Q: On July 1, 2019, Shark Company purchased all of the outstanding stock of Sfin Company for…

A: Goodwill is treated as an asset to the company.

Q: On January 4, 2021, P Company purchased 75% interest in S Corporation for P300,000. S's recorded…

A: Consolidation statement In the consolidation statement parent company acquired the subsidiary…

Q: On January 1, 2020, Pfizer Corp. acquired 80% of Vaxx Corp.’s common stock for P160,000 cash. The…

A: Total fair value of assets of Vaxx Corporation = Cash + Accounts receivable + Inventory + Land +…

Q: Anthem Co. acquired 60% of the outstanding shares of Bethel Co. on January 2, 2021. Anthem Co.…

A: INTRODUCTION: Net income, often known as net profit, is a computation that determines how much total…

Q: On January 1, 2020, Pfizer Corp. acquired 80% of Vaxx Corp.’s common stock for P160,000 cash. The…

A: Non-Controlling Interest: It is the proportion of shareholding which is not in the control of the…

Q: Milani, Inc., acquired 10 percent of Seida Corporation on January 1, 2020, for $190,000 and…

A: Journal Entry: Journal entry is the act of keeping records of transactions in an accounting journal.…

Q: Milani, Inc., acquired 10 percent of Seida Corporation on January 1, 2020, for $193,000 and…

A: SOLUTION- JOURNAL ENTRIES IS A RECORD OF BUSINESS TRANSACTIONS IN THE ACCOUNTING BOOKS OF A…

Q: Milani, Inc., acquired 10 percent of Seida Corporation on January 1, 2020, for $190,000 and…

A: Solution:- Preparation of  journal entry for dividend declaration as follows:- Introduction:-…

Q: P corporation, an SME, paid P3,000,000 for a 90% interest in S Company on January 1, 2019. The…

A: Consolidated financial statements are financial statements of an entity with multiple divisions or…

Q: ABC Corp purchased 95% of the stock of DEF Company on January 2021. On that date, the book value of…

A: On 01.01.2021, ABC Corp purchased stock of DEF Company = 95% As a result of purchase, goodwill…

Q: On January 1, 2019, ATA Company purchased 25% of the ordinary share of Passim Company by issuing…

A: NOTE : As per BARTELBY guidelines, when multiple questions are given then first question is to be…

Q: Palermo Corporation acquired an 80% interest in Steel Corporation at a cost equal to 80% of the book…

A: Given, Palermo Corporation acquired an 80% interest in Steel Corporation.

Q: On April 1, 2021, BBC Co. acquired a 30% stake in LTI Inc. for $ 100,000. This amount includes $…

A: Consolidated Income Statement: It can be referred to as an income statement prepared by the parent…

Q: On January 1, 2019, Post Corporation acquired 80 percent of Star Company's common stock for $160,000…

A: Given Information :  Book value of Star company = $160,000 Net income for 2019 = $60,000 Net income…

Q: On January 1, 2020, Adamson, Inc. acquired the outstanding voting common stock of Skyview Corp. for…

A: Consolidated financial statements can be defined as the combined financial statements of the parent…

Q: Milani, Inc., acquired 10 percent of Seida Corporation on January 1, 2020, for $189,000 and…

A: Fair Value Method Business liabilities and assets are measured at current market value under fair…

Q: P corporation, an SME, paid P3,000,000 for a 90% interest in S Company on January 1, 2019. The…

A: Step 1 Consolidated financial statements are financial statements of an entity with multiple…

Q: Norris sold goods costing P500,000 for P750,000 to Thaddeus in 2020. At December 31, 2020, the goods…

A: The excess of the selling price of an asset over its carrying value is referred to as capital gain.

Q: Milani, Inc., acquired 10 percent of Seida Corporation on January 1, 2020, for $190,000 and…

A: Since Milani has significant influence on Seida, it will use Equity Accounting method for it's…

Q: Milani, Inc., acquired 10 percent of Seida Corporation on January 1, 2020, for $190,000 and…

A: Journal Entry: Journal entry is the act of keeping records of transactions in an accounting journal.…

Q: Parent Corporation acquired 80% of the outstanding voting stock of Sub Company for P4,500,000 on…

A: Goodwill = 50% x (Cost of Acquiring the Sub Company + Fair Value of NCI - Book Value)

Q: Milani, Inc., acquired 10 percent of Seida Corporation on January 1, 2020, for $195,000 and…

A: Journal entries refers to the process of systematic documentation of the financial transactions of a…

Q: Parent Corporation acquired 80% of the outstanding voting stock of Sub Company for P4,500,000 on…

A: Book Value = Share Capital + Securities Premium + Retained Earnings Goodwill = (Consideration Paid +…

Q: On July 1, 2021, Gupta Corporation bought 25% of the outstanding common stock of VB Company for $135…

A: Acquisition of shares of one company by another needs to be recorded in the books of accounts as…

Q: Milani, Inc., acquired 10 percent of Seida Corporation on January 1, 2020, for $187,000 and…

A: Accounting for investment Investment accounting generally takes place when money is paid for an…

Q: On January 4, 2021, P Company purchased 75% interest in S Corporation for P300,000. S's recorded…

A:

Q: Parent Corporation acquired 80% of the outstanding voting stock of Sub Company for P4,500,000 on…

A: Fair value of the net assets of Sub Company will be book value of assets plus increase in…

Q: On January 1, 2020, Palka, Inc., acquired 70 percent of the outstanding shares of Sellinger Company…

A: Journal entry: Journal entry is a set of economic events which can be measured in monetary terms.…

Q: AB Company bought 20% of CD Corporation's ordinary shares on January 1, 2021 for P20,000,000.…

A: Solution: CD Profit for 2021 from prespective of AB investment = Reported profit by CD - Additional…

Q: Milani, Inc., acquired 10 percent of Seida Corporation on January 1, 2020, for $183,000 and…

A: Investment Accounting: When money is paid for an investment instrument, investment accounting takes…

Q: Milani, Inc., acquired 10 percent of Seida Corporation on January 1, 2020, for $190,000 and…

A: Particulars Amount Purchase price of 30% share $600,000 Fair value of 10% investment…

Q: Parkette, Inc., acquired a 60 percent interest in Skybox Company several years ago. During 2020,…

A: Unrealized Profit Upto 31/12/2020   Profit from Intra Activity = (110,000 -90,200) = 19,800 Closing…

Q: Parent Corporation acquired 80% of the outstanding voting stock of Sub Company for P4,500,000 on…

A: Formula Book Value = Share Capital + Securities Premium + Retained Earnings Goodwill =…

Q: sing the data, what is the carrying value of equipment in the consolidated FS as of 12/31/2020?

A: Step 1 Consolidated financial statements are financial statements of an entity with multiple…

Q: On January 1, 2019, Post Corporation acquired 80 percent of Star Company's common stock for $160,000…

A:

Q: Hot Inc. owns 60% of Cold Inc, which it purchased on January 1, 2019 for $540,000. On that date,…

A: Working note: Computation of fair value of identifiable net assets and non-controlling interest of C…

Q: On January 1, 2019, Post Corporation acquired 80 percent of Star Company's common stock for $160,000…

A: THE CORRECT OPTION IS OPTION B  BALANCE OF INVESTMENT IN STAR COMPANY ON DECEMBER 31 , 2020 =…

Q: , acquired 70 percent of the outstanding shares of Sellinger Company for $1,274,000 in cash. The…

A: Profits or losses gained over a period of time are referred to as net income. Cumulative net income…

Q: Leslie's Company bought 20% of Prudence Company's ordinary share on January 1, 2020 for P3,700,000.…

A: Leslie's company report as income from investment in its 2020 Profit or loss section of the…

Q: On January 1, 2021, P Corporation purchases from an unrelated person all the outstanding stock of S…

A: It is the section enacted by US Congress to allow taxpayers to consider certain stock purchase…

Q: On January 1, 2019, Post Corporation acquired 80 percent of Star Company's common stock for $160,000…

A: Given information: Percentage acquired = 80% Acquisition price = $160,000 Net income for 2019 =…

Q: On January 1, 2020, Merlo Company acquired 80% of the stocks of Fritzie Company for P2,000,000. On…

A: Cost of sales by Merlo Company to Fritzie Company =800000 - 25% x 800000 = 600000 1)Cost of sales by…

Q: Ab Company bought 20% of CD Company' ordinary share on January 1, 2021 for P3,700,000. The carrying…

A: In the given question AB company has made an investment of 20% at a cost of P3700000 in CD company.…

Q: Parent Corporation acquired 80% of the outstanding voting stock of Sub Company for P4,500,000 on…

A: Fair value of the net assets of Sub Company will be book value of assets plus increase in…

Q: On January 1, 2020, Pfizer Corp. acquired 80% of Vaxx Corp.’s common stock for P160,000 cash. The…

A: Here in this question, we are required to calculate non controlling interest under full goodwill…

Q: On January 2, 2020, Pat Corporation acquired 75% of the outstanding common stock of Sol Company for…

A: Consolidated financial statements are the financial statements of a group consisting of multiple…

Consolidation

Consolidation in general examination implies an asset oscillating between well-defined methods of trading status. Consolidation is commonly known as market indecisiveness, which completes when the asset's values move forward or backward the trading structure.