ADVANCED FINANCIAL ACCOUNTING IA
12th Edition
ISBN: 9781260545081
Author: Christensen
Publisher: MCG
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Textbook Question
Chapter 5, Problem 5.1C
Consolidation Worksheet Preparation
The newest clerk in the accounting office recently entered
Required
Indicate whether each of the following questions can be answered by looking at the data in theconsolidation worksheet (indicate why or why not):
a. Is it possible to tell if the parent is using the equity method in recording its ownership of eachsubsidiary?
b. Is it possible to tell if the correct amount of consolidated net income has been reported?
e. One of the employees thought the parent company had paid well above the fair value of net assets for a subsidiary purchased on January 1, 20X5. Is it possible to tell by reviewing theconsolidation worksheet?
d. Is it possible to determine from the worksheet the percentage ownership of a subsidiary held bythe parent?
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Question 3: (35 Marks)
As the in-charge senior auditor on the audit engagement for JA Tire Manufacturing for
the year ended December 31, 2019, you are responsible for auditing the revenue cycle.
The manager has instructed you to read JA Tire Manufacturing system provided on the
first tab of the Excel file "Appendix 1_JATireSales_Data" before attempting this audit to
familiarize yourself with the sales process and the relevant worksheets and terminology.
This file contains sales transaction information for the year ended December 31, 2019.
JA Tire has four sales divisions within Canada and sells primarily to large tire companies
with regional warehouses that subsequently distribute to local retailers. Based on some
of the risk assessment procedures already performed, you identified risks related to the
fact that salespersons receive a commission on sales to distributors and the
commission is calculated on a monthly basis. Your manager has asked you to perform
analytical procedures as a…
ANALYSIS. Indicate which accounting concept and principle is violated. Write the letter of your answer
on the space provided for.
d. Materiality
e. Monetary Unit
f. Cost
g. Objectivity
h., Time Period Concept
i. , Matching
а.
Accrual Method
b.
Business entity
C.
Disclosure
26. A food company ordered a machine needed in the assembly line of its production department.
Upon order, the machine was immediately listed as one of its assets
vivo Y20i
2021.11.07 23:58
Complete the following problems on an excel spreadsheet. Number your problems on a different tab.
PA3 requires two special journals and a subsidiary ledger.
PA3. The following transactions occurred for Donaldson Inc. during the month of July.
Record the transactions for Donaldson Inc. in the proper special journal and subsidiary ledger.
Jul. 1 Sold 50 items to Palm Springs Inc. and offered terms of 2/10, n/30, $4,000 on July 1, and issued invoice #12 on account number #312
Jul. 5 Sold 20 thing-a-jigs to Miami Inc. for $2,150 cash on July 5, and issued invoice #13
Jul. 8 Sold 30 what-is to Smith Mfg. for $5,000 and offered terms of 2/10, n/30; issued invoice #14 on account number #178
Jul. 9 Received payment from Palm Springs Inc.
Jul. 22 Received payment from Smith Mfg. after expiration of the discount period
Chapter 5 Solutions
ADVANCED FINANCIAL ACCOUNTING IA
Ch. 5 - Where is the balance assigned to the...Ch. 5 - Why must a noncontrolling interest be reported in...Ch. 5 - Prob. 5.3QCh. 5 - Prob. 5.4QCh. 5 - Prob. 5.5QCh. 5 - Prob. 5.6QCh. 5 - Prob. 5.7QCh. 5 - Prob. 5.8QCh. 5 - Prob. 5.9QCh. 5 - Prob. 5.10Q
Ch. 5 - Under what Circumstances would a parent company...Ch. 5 - Prob. 5.12QCh. 5 - Prob. 5.13QCh. 5 - Prob. 5.14AQCh. 5 - Prob. 5.15AQCh. 5 - Consolidation Worksheet Preparation The newest...Ch. 5 - Prob. 5.2CCh. 5 - Prob. 5.3CCh. 5 - Prob. 5.4CCh. 5 - Prob. 5.5CCh. 5 - Prob. 5.1.1ECh. 5 - Prob. 5.1.2ECh. 5 - Prob. 5.1.3ECh. 5 - Prob. 5.1.4ECh. 5 - Prob. 5.2.1ECh. 5 - Prob. 5.2.2ECh. 5 - Prob. 5.2.3ECh. 5 - Prob. 5.2.4ECh. 5 - Prob. 5.2.5ECh. 5 - Prob. 5.3ECh. 5 - Prob. 5.4ECh. 5 - Balance Sheet Worksheet Problem Company owns 90...Ch. 5 - Prob. 5.6ECh. 5 - Prob. 5.7ECh. 5 - Prob. 5.8.1ECh. 5 - Prob. 5.8.2ECh. 5 - Prob. 5.8.3ECh. 5 - Prob. 5.8.4ECh. 5 - Prob. 5.8.5ECh. 5 - Prob. 5.8.6ECh. 5 - Prob. 5.8.7ECh. 5 - Prob. 5.9ECh. 5 - Prob. 5.10ECh. 5 - Prob. 5.11ECh. 5 - Prob. 5.12ECh. 5 - Prob. 5.13ECh. 5 - Prob. 5.14ECh. 5 - Prob. 5.15ECh. 5 - Prob. 5.16ECh. 5 - Prob. 5.17AECh. 5 - Prob. 5.18AECh. 5 - Prob. 5.19PCh. 5 - Prob. 5.20PCh. 5 - Prob. 5.21.1PCh. 5 - Multiple-Choice Questions on Applying the Equity...Ch. 5 - Prob. 5.21.3PCh. 5 - Prob. 5.21.4PCh. 5 - Prob. 5.22PCh. 5 - Computation of Account Balances Pencil Company...Ch. 5 - Prob. 5.24PCh. 5 - Equity Entries with Differential On January 1,...Ch. 5 - Equity Entries with Differential Plug Corporation...Ch. 5 - Prob. 5.27PCh. 5 - Prob. 5.28PCh. 5 - Prob. 5.29P
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