Income information for 2020 taken from the separate company financial sta Ezekiel Corporation and its 75% owned subsidiary, Lamentation Corporation is presented as follows: Ezekiel P1,000,000 P460,000 20,000 75,000 (500,000) (260,000) (100,000) (200,000) P295,000 P1O0,000 Lamentation Sales Gain on sale of building Dividend income Cost of goods sold Depreciation expense Other expenses Net income (60,000) (40,000) Ezekiel gain on sale of building relates to a building with a book value of P40,000 and a 10-year remaining useful life that was sold to Lamentation for P60,000 on January 4, 2020.

Income information for 2020 taken from the separate company financial sta Ezekiel Corporation and its 75% owned subsidiary, Lamentation Corporation is presented as follows: Ezekiel P1,000,000 P460,000 20,000 75,000 (500,000) (260,000) (100,000) (200,000) P295,000 P1O0,000 Lamentation Sales Gain on sale of building Dividend income Cost of goods sold Depreciation expense Other expenses Net income (60,000) (40,000) Ezekiel gain on sale of building relates to a building with a book value of P40,000 and a 10-year remaining useful life that was sold to Lamentation for P60,000 on January 4, 2020.

Name: The Consolidated depreciation expense for 2020 should be:a 180,000 b.
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Description: The Consolidated depreciation expense for 2020 should be:a 180,000 b. 160,000c. 162,000 d. 158,000 Income information for 2020 taken from the separate company financial statements ofEzekiel Corporation and its 75% owned subsidiary, Lamentation Corpor

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

Chapter5: The Income Statement And The Statement Of Cash Flows

Section: Chapter Questions

Problem 2P

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Fisafolia Corporation has gross income from operations of $210,000 and operating expenses of $160,000 for 2019. The corporation also has $30,000 in dividends from publicly traded domestic corporations in which the ownership percentage was 45 percent. Calculate the corporation's dividends received deduction for 2019. $_____________ Assume that instead of $210,000, Fisafolia Corporation has gross income from operations of $135,000. Calculate the corporation's dividends received deduction for 2019. $___________ Assume that instead of $210,000, Fisafolia Corporation has gross income from operations of $158,000. Calculate the corporation's dividends received deduction for 2019. $_____________
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Comparative income statements of Sub Corporation for the calendar years 2019, 2020, and 2021 are as follows (in thousands): 2019 2020 2021Sales $22,000 $18,500 $19,250Cost of sales 10,600 9,900 10,100Gross profit 11400 8600 9150Operating expenses 5,700 5,500 6,000Net income $ 5700 $ 3100 $ 3150ADDITIONAL INFORMATION1. Sub was an 80 percent-owned subsidiary of Pub Corporation throughout the 2019–2021 period. Pub’s separate income (excludes income from Sub) was $7,200,000, $6,600,000, and $7,500,000 in 2019, 2020, and 2021, respectively. Pub acquired its interest in Sub at its underlying book value, which was equal to fair value on July 1, 2017.2. Pub sold inventory items to Sub during 2019 at a gross profit to Pub of $720,000. Half the merchandise remained in Sub’s inventory at December 31, 2019. Total sales by Pub to Sub in 2019 were $1,800,000. The remaining merchandise was sold by Sub in 2020.3. Pub’s inventory at December 31, 2020, included items acquired from Sub on which Sub made…
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