Need help with this question solution general accounting A parent company sells machinery to its subsidiary on March 1, 2023, for $120,000. At thetime, the machinery was reported on the parent's books at a net book value of $75,000. Theremaining life of the machinery as of March 1, 2023, is five years, and straight-linedepreciation, no residual value is used.At what net value should this machinery be reported on December 31, 2024, consolidatedbalance sheet (22 months after the intercompany machinery sale)?a. $96,000b. $60,000c. $47,500d. $50,000

Step 1: Use the Parent's Original Net Book ValueIn a consolidated financial statement, intercompany…

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Principles of Accounting Volume 1

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Chapter11: Long-term Assets

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Problem 11PB: On May 1, 2015, Zoe Inc. purchased Branta Corp. for $15,000,000 in cash. They only received...

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A parent company sells machinery solve this accounting questions
Three years after the intercompany equipment sale
Hi expert please give me answer general accounting
On January 1, 2019 Pink Corp. sold a machine for $7,400 to slink Corp., its wholly-owned subsidiary. Pink paid $13,00 for this machine. On January 1, 2019, accumulated depreciation was $4,500. The remaining useful life is assumed to be 5 years. Straight line depreciation is used by both companies. In pink's December 31, 2019 consolidated balance sheet, at what amount should accumulated depreciation be reported?
At what net value should this equipment be recorded?
On January 1, 2020, Pink Corp. 'sold' a machine for $6000 to Slink Corp., its wholly-owned subsidiary. Pink paid $18000 for this machine. At January 1, 2020, accumulated depreciation was $6000. The remaining useful life is assumed to be 10 years. Straight line depreciation is used by both companies. In Pink's December 31, 2020 consolidatedincome statement, at what amount should DEPRECIATION EXPENSE be reported? BE SURE TO TYPE A SIMPLE NUMBER WITH NO COMMAS OR DOLLAR SIGNS. FOR EXAMPLE, TYPE 1000 INSTEAD OF $1,000.
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On January 1, 2020, Pink Corp. 'sold' a machine for $8000 to Slink Corp., its wholly-owned subsidiary. Pink paid $18000 for this machine. At January 1, 2020, accumulated depreciation was $10000. The remaining useful life is assumed to be 5 years. Straight line depreciation is used by both companies. In Pink's December 31, 2020 consolidated balance sheet, at what amount should ACCUMULATED DEPRECIATION be reported? BE SURE TO TYPE A SIMPLE NUMBER WITH NO COMMAS OR DOLLAR SIGNS. FOR EXAMPLE, TYPE 1000 INSTEAD OF $1,000.
ABC Ltd acquires some machinery at a cost of $500 000 on 1 July 2021. On 30 June 2022, the machinery, which has an accumulated depreciation balance of $80 000, is assessed as having a fair value equal to $400 000. ABC Ltd measures machinery at fair value. Provide the journal entries to reflect the revaluation decrement.
Straight line depreciation with no residual value is used
A non-current asset with a carrying amount of $2400 was sold by the parent to its subsidiary for $1000 on 1 January 2019. The subsidiary intended to use this item as inventory, being a seller of second-hand goods. Both entities charged depreciation at the rate of 25% p.a. on the diminishing balance on non-current assets. The item was still on hand at 30 June 2019. Assume an income tax rate of 30%. Prepare the consolidation worksheet adjusting entries for preparation of the consolidated financial statements as at 30 June 2019 Answer: Loss on sale Dr $ 1400 Your last answer was interpreted as follows: 1400 Inventory ÷ Cr Your last answer was interpreted as follows: 1400 Accumulated depreciation ÷ Dr $ 1400 ÷ $ 350 Your last answer was interpreted as follows: 350 Depreciation Expense ÷ Cr ÷ $ 350 Your last answer was interpreted as follows: 350
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