Answered: all owns 70% of Short. In 2020, Tall…

all owns 70% of Short. In 2020, Tall reports third party Purchases of $800,000 and Purchases from Short of $200,000. Short reports Purchases of $500,000, which includes $100,000 of Purchase

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Question

Tall owns 70% of Short. In 2020, Tall reports third party Purchases of $800,000 and Purchases from Short of $200,000.

Short reports Purchases of $500,000, which includes $100,000 of Purchases from Tall.

How much is consolidated Purchases

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