December 31: a) How much goodwill will be recognized in consolidation? $ b) How much is the minority interest in consolidation? $. c) How much of Sod's equity is included in consolidation? $_
December 31: a) How much goodwill will be recognized in consolidation? $ b) How much is the minority interest in consolidation? $. c) How much of Sod's equity is included in consolidation? $_
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
Chapter12: Intangibles
Section: Chapter Questions
Problem 18E
Related questions
Question
![On December 31, 2020, Pom Company
purchased 90% of Sod Company's stock for
$250,000 cash. At this date, the book value of
Sod Company's assets included land that had
a book value of $60,000 and a market value
of $68,000. Sod Company's equity consisted
of $80,000 common stock and $140,000
retained earnings. Please answer the
following questions after the elimination entry
to prepare consolidated statements at
December 31:
a) How much goodwill will be recognized in
consolidation? $
b) How much is the minority interest in
consolidation? $
c) How much of Sod's equity is included in
consolidation? $](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fe166f9ea-c5ee-401c-a2e0-a36403dbb748%2F4ec88814-4f76-4267-ba9a-6bbc1f33e343%2F1lv6ap_processed.jpeg&w=3840&q=75)
Transcribed Image Text:On December 31, 2020, Pom Company
purchased 90% of Sod Company's stock for
$250,000 cash. At this date, the book value of
Sod Company's assets included land that had
a book value of $60,000 and a market value
of $68,000. Sod Company's equity consisted
of $80,000 common stock and $140,000
retained earnings. Please answer the
following questions after the elimination entry
to prepare consolidated statements at
December 31:
a) How much goodwill will be recognized in
consolidation? $
b) How much is the minority interest in
consolidation? $
c) How much of Sod's equity is included in
consolidation? $
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