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Prego owns 100% of Spacci. Below you will find the financial statements of both firms. Find consolidated interest expense. Prego 1 Sales Purchases from Subsidiary Other COGS Gross Profit SG&A Tax Net Income Operating Profit Interest Expense Interest Income from Subsidiary Earnings before tax Spacci Profit & Loss 4 COGS Gross Profit SG&A Sales to Parent Sales to nonrelated parties Total Sales Tax Net Income Profit & Loss Operating Profit Interest Expense for Loan from Parent Interest Expense for Bank Loans Earnings before tax 7,500 (3,750) (2,250) 1,500 (750) 750 (75) 38 713 (150) 563 3,750 2,250 6,000 (4.500) 1,500 (750) 750 (38) (1) 711 (20) 691 Cash Account Receivable from nonrelated parties Inventory Total current assets Net PP&E Loan to Subsidiary Investment in Subsidiary Total Assets Cash Account Receivable from Parent Inventory Total current assets Net PP&E Total Assets Balance Sheet 75 225 75 375 375 375 300 1,425 Balance Sheet 300 225 150 675 300 975 Account payable to Subsidiary Account payable to third party Total current liabilities Bank loans Total Equity Total Liabilities & Equity Account payable to third party Total current liabilities Bank loans Loans from Parent Total Equity Total Liabilities & Equity 225 300 Show all results with one decimal for numbers and two decimals for percent responses using the following format: 1,234.5 or 12.32%. For any questions requiring days, assume a 365 day year. 525 375 525 1,425 375 375 75 375 150 975

Prego owns 100% of Spacci. Below you will find the financial statements of both firms. Find consolidated interest expense. Prego 1 Sales Purchases from Subsidiary Other COGS Gross Profit SG&A Tax Net Income Operating Profit Interest Expense Interest Income from Subsidiary Earnings before tax Spacci Profit & Loss 4 COGS Gross Profit SG&A Sales to Parent Sales to nonrelated parties Total Sales Tax Net Income Profit & Loss Operating Profit Interest Expense for Loan from Parent Interest Expense for Bank Loans Earnings before tax 7,500 (3,750) (2,250) 1,500 (750) 750 (75) 38 713 (150) 563 3,750 2,250 6,000 (4.500) 1,500 (750) 750 (38) (1) 711 (20) 691 Cash Account Receivable from nonrelated parties Inventory Total current assets Net PP&E Loan to Subsidiary Investment in Subsidiary Total Assets Cash Account Receivable from Parent Inventory Total current assets Net PP&E Total Assets Balance Sheet 75 225 75 375 375 375 300 1,425 Balance Sheet 300 225 150 675 300 975 Account payable to Subsidiary Account payable to third party Total current liabilities Bank loans Total Equity Total Liabilities & Equity Account payable to third party Total current liabilities Bank loans Loans from Parent Total Equity Total Liabilities & Equity 225 300 Show all results with one decimal for numbers and two decimals for percent responses using the following format: 1,234.5 or 12.32%. For any questions requiring days, assume a 365 day year. 525 375 525 1,425 375 375 75 375 150 975

SWFT Comprehensive Vol 2020
SWFT Comprehensive Vol 2020
43rd Edition
ISBN:9780357391723
Author:Maloney
Publisher:Maloney
Chapter18: Corporations: Organization And Capital Structure
Section: Chapter Questions
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Prego owns 100% of Spacci. Below you will find the financial statements of both firms. Find consolidated interest expense. Prego 1 Sales Purchases from Subsidiary Other COGS Gross Profit SG&A Tax Net Income Operating Profit Interest Expense Interest Income from Subsidiary Earnings before tax Spacci Profit & Loss 4 COGS Gross Profit SG&A Sales to Parent Sales to nonrelated parties Total Sales Tax Net Income Profit & Loss Operating Profit Interest Expense for Loan from Parent Interest Expense for Bank Loans Earnings before tax 7,500 (3,750) (2,250) 1,500 (750) 750 (75) 38 713 (150) 563 3,750 2,250 6,000 (4.500) 1,500 (750) 750 (38) (1) 711 (20) 691 Cash Account Receivable from nonrelated parties Inventory Total current assets Net PP&E Loan to Subsidiary Investment in Subsidiary Total Assets Cash Account Receivable from Parent Inventory Total current assets Net PP&E Total Assets Balance Sheet 75 225 75 375 375 375 300 1,425 Balance Sheet 300 225 150 675 300 975 Account payable to Subsidiary Account payable to third party Total current liabilities Bank loans Total Equity Total Liabilities & Equity Account payable to third party Total current liabilities Bank loans Loans from Parent Total Equity Total Liabilities & Equity 225 300 Show all results with one decimal for numbers and two decimals for percent responses using the following format: 1,234.5 or 12.32%. For any questions requiring days, assume a 365 day year. 525 375 525 1,425 375 375 75 375 150 975
Transcribed Image Text:Prego owns 100% of Spacci. Below you will find the financial statements of both firms. Find consolidated interest expense. Prego 1 Sales Purchases from Subsidiary Other COGS Gross Profit SG&A Tax Net Income Operating Profit Interest Expense Interest Income from Subsidiary Earnings before tax Spacci Profit & Loss 4 COGS Gross Profit SG&A Sales to Parent Sales to nonrelated parties Total Sales Tax Net Income Profit & Loss Operating Profit Interest Expense for Loan from Parent Interest Expense for Bank Loans Earnings before tax 7,500 (3,750) (2,250) 1,500 (750) 750 (75) 38 713 (150) 563 3,750 2,250 6,000 (4.500) 1,500 (750) 750 (38) (1) 711 (20) 691 Cash Account Receivable from nonrelated parties Inventory Total current assets Net PP&E Loan to Subsidiary Investment in Subsidiary Total Assets Cash Account Receivable from Parent Inventory Total current assets Net PP&E Total Assets Balance Sheet 75 225 75 375 375 375 300 1,425 Balance Sheet 300 225 150 675 300 975 Account payable to Subsidiary Account payable to third party Total current liabilities Bank loans Total Equity Total Liabilities & Equity Account payable to third party Total current liabilities Bank loans Loans from Parent Total Equity Total Liabilities & Equity 225 300 Show all results with one decimal for numbers and two decimals for percent responses using the following format: 1,234.5 or 12.32%. For any questions requiring days, assume a 365 day year. 525 375 525 1,425 375 375 75 375 150 975
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