Fletcher Corporation owns 75 percent of Montrose Company's stock. In the 20Y5 consolidated income statement, the noncontrolling interest was assigned $22,500 of income. There was no differential in the acquisition. What amount of net income did Montrose Company report for 20Y5?
Q: Accurate answer
A: Explanation of Direct Costing: This is a costing method (also known as variable costing) where only…
Q: Sub. General accounting
A: Step 1: Definition of Days in InventoryDays in inventory (or inventory days) measures the average…
Q: Subject:- General Account
A: Step 1: Definition of Debt-to-Equity RatioThe Debt-to-Equity (D/E) Ratio measures a company's…
Q: In 2015, NovaCorp sold 4,500 units at 300 each. Variable costs were 220 per unit, and fixed costs…
A: Explanation of Total Revenue: Total revenue, also known as gross revenue or sales, represents the…
Q: The best estimate of the total variable cost per unit is
A: Explanation of Variable Cost per Unit:Variable cost per unit refers to the cost that changes…
Q: What was the cost of goods manufactured on these general accounting question?
A: Step 1: Define Cost of Goods Manufactured (COGM)The Cost of Goods Manufactured (COGM) is the total…
Q: The total cost of job
A: Concept of Direct MaterialsDirect materials refer to the raw materials that are directly used in the…
Q: Can you please solve this
A: Step 1: Definition of Days Sales in Receivables (DSO)The Days Sales in Receivables (DSO) is an…
Q: Calculate the net income for trenton corporation
A: Explanation of Net Income:Net income represents the company's profit after deducting all operating…
Q: Creston Alloy Works manufactures a single product that sells for $90 per unit. Variable costs are…
A: Explanation of Selling Price: Selling price is the amount a company charges customers for each unit…
Q: Provide answer general accounting
A: Step 1: Definition of High-Low MethodThe High-Low Method is a cost estimation technique used to…
Q: Ans. General Account
A: Step 1: Definition of Gross Profit PercentageThe gross profit percentage (gross margin) measures the…
Q: Financial accounting
A: Step 1: Define LeverageFinancial leverage can be defined as a scenario where a company uses debt in…
Q: Total manufacturing costs
A: Explanation of Direct Materials Used:Direct materials used refer to the raw materials that are…
Q: Taylor Industries has a net income of $74.5 million and pays out $10.2 million in dividends. The…
A: To calculate the sustainable growth rate (SGR) for Taylor Industries, we use the following…
Q: If revenue = $135 and variable cost revenue, then contribution margin = 45% of = $79.25. a. True. b.…
A: Step 1: Introduction to CVP AnalysisCVP analysis, or cost-volume-profit analysis, is a management…
Q: What was the income from operations? General
A: Step 1: Define Fixed CostsBusiness incurs various courses in their operations; some costs depend on…
Q: Determine the net cash flow for this general accounting question
A: Step 1: Calculation of total cash inflowsTotal Cash Inflows = Cash Sales Collected + Proceeds from…
Q: ??
A: Concept of Total Cost of EquipmentThe total cost of equipment includes the initial purchase price…
Q: financial accounting
A: Step 1: Definition of Gross Profit PercentageGross profit percentage measures a company's…
Q: can you please solve this
A: Step 1: Definition of Cost of Goods Sold (COGS)Cost of Goods Sold (COGS) represents the total direct…
Q: Electric Zero produces relay units for generators. Each relay has a standard cost of $67. Standards…
A: Concept of Labor Rate Variance:Labor rate variance measures the difference between the actual hourly…
Q: What is the amount of capital spending?
A: Capital spending, also known as net capital expenditures, represents the amount a company invests in…
Q: Compute the overhead using the traditional approach
A: Explanation of Plantwide Overhead Rate:The plantwide overhead rate is a single overhead rate applied…
Q: What is this firm debt equity ratio?
A: ROE can be broken down using DuPont Analysis into three components:ROE = Profit Margin × Asset…
Q: Subject: Financial Accounting
A: Step 1: Total equity Debt to equity ratio = Total debt/Total equityTotal equity = Total debt/Debt…
Q: What effect on 2013 income should global report for creative co shares?
A: Explanation of Available-for-Sale Securities:Available-for-sale (AFS) securities are investments in…
Q: Hima company has a debt-equity ratio of
A: (a) Equity Multiplier (EM)The equity multiplier is given by:Equity Multiplier=1+Debt/EquitySince the…
Q: Financial Accounting problem
A: Concept of Business Combination:A business combination occurs when one company acquires control over…
Q: Do fast this question answer general accounting
A: Step 1: Define Financial LeverageFinancial leverage is the use of debt to acquire new assets. The…
Q: ??
A: Explanation of Absorption Costing: Absorption costing is a method of product costing that includes…
Q: Parker Industries applies manufacturing overhead costs to products at a budgeted indirect-cost rate…
A: Explanation of Manufacturing Overhead: Manufacturing overhead represents all indirect costs…
Q: Financial Accounting Question
A: Step 1: Definition of Asset TurnoverAsset Turnover is a financial ratio that measures a company's…
Q: choose best answer general accounting
A: ROE is a profitability ratio that measures how effectively a company uses its shareholders'…
Q: How much did Felton pay in cash dividends and what was it's average asset of this financial…
A: Step 1: Define Cash DividendsCash Dividends are payments made by a corporation to its shareholders…
Q: Need answer the financial accounting question
A: Step 1: Define Accounting EquationThe Accounting Equation is the fundamental principle of accounting…
Q: Compute the increase or decrease in net income
A: Explanation of Variable Costs: Variable costs are expenses that change directly in proportion to…
Q: Burner, Incorporated has sales of 1,250,000, costs of 620,000, depreciation expenses of 85,000, and…
A: Explanation of EBIT (Earnings Before Interest and Taxes): EBIT represents a company's operating…
Q: Problem 7.7
A:
Q: Use the following data
A: Concept of Full CostingFull costing, also known as absorption costing, is an accounting method where…
Q: general accounting
A: Step 1: Direct raw materials used Raw materials used = Raw materials inventory, beginning +…
Q: Thompson Corporation has a discontinued operation gain of $45,000 and a 28% tax rate. What is the…
A: Explanation of Discontinued Operations:Discontinued operations refer to a business segment or…
Q: Residual Claims Stark
A: ImageExplanation.The shareholders' equity represents the residual interest in a company after…
Q: Mala Corporation uses direct labor hours in its predetermined overhead rate. At the beginning of the…
A: Step 1: Introduction factory overheadFactory overheads are defined as indirect costs that are not…
Q: Hello teacher please solve questions
A: Step 1: Definition of Degree of Operating LeverageThe degree of operating leverage (DOL) is a…
Q: What was the amount of net income for the year?
A: Explanation of Net Income:Net income is the amount of profit a company earns after deducting all its…
Q: provide correcy
A: Step 1: Definition of Owner's EquityOwner's equity represents the residual interest in the assets of…
Q: abc general accounting
A: Step 1: Introduction to ratio analysisRatio analysis is a method used to analyze financial…
Q: General Accounting
A: Step 1: Define Cost of Goods Sold (COGS)Cost of Goods Sold (COGS) represents the direct costs…
Q: Calculate the predetermined overhead allocation rate
A: Explanation of Indirect Costs: These are costs that cannot be directly traced to a specific…
What amount of net income did montrose company report
Step by step
Solved in 2 steps
- Please help meThe equity accounts of Jordan Company total $2,000,000. On 1/1/X1, Davidson Company purchased 60% of Jordan for $1,985,000. The fair values of net assets are equal to book values. What are goodwill and noncontrolling interests amounts?Problem Company owns 90 percent of Solution Dairy's stock. The balance sheets of the two companies immediately after the Solution acquisition showed the following amounts: Assets Cash & Receivables. Inventory Land Buildings & Equipment (net) Investment in Solution Dairy Total Assets Liabilities & Stockholders' Equity Current Payables Long-Term Liabilities Common Stock Retained Earnings Total Liabilities & Stockholders' Equity Problem Company $ 132,000 211,000 74,000 409,000 259,200 $ 1,085,200 Solution Dairy $ 88,000 108,000 54,000 228,000 $ 478,000 $ 77,000 254,200 382,000 372,000 $ 30,000 180,000 66,000 202,000 $ 1,085,200 $ 478,000 The fair value of the noncontrolling interest at the date of acquisition was determined to be $28,800. The full amount of the increase over book value is assigned to land held by Solution. At the date of acquisition, Solution owed Problem $9,000 plus $1,100 accrued interest. Solution had recorded the accrued interest, but Problem had not Required: Prepare…
- 1) Peter Inc. acquired 100% of the outstanding Inc. for $ Common Stock of Simran cash and shares of its own common stock ($1 par value), which was trading at $___ per share at the acquisition date. (a) Determine the Acquisition Cost. (b) Pass Journal Entry in the Book of Parent Company. [Assume your own figure in the blank spaces.].A Co. acquired 60% of the outstanding shares of B Co. on January 2, 2021. A Co. acquired it at book value which is the same as its fair value at the date of acquisition. Income Statement of A Co. and B Co. for 2022 are as follows: A Co. B Co.Net Sales P1,093,750 P437,500Cost of Sales 656,250 262,500Gross Profit 437,500 175,000Operating Expenses 131,250 65,625Operating Income 306,250 109,375Dividend Income 70,000 0Net Income P 376,250 P109,375 B Co. made sales to A Co. of P140,000 in 2021 and P210,000 in 2022. A Co. reported inventory on December 31, 2021 amounting to P87,500 of which 20% comes from B Co. and inventory on December 31, 2022 amounting to P105,000 of which 30%…A Co. acquired 60% of the outstanding shares of B Co. on January 2, 2021. A Co. acquired it at book value which is the same as its fair value at the date of acquisition. Income Statement of A Co. and B Co. for 2022 are as follows: A Co. B Co.Net Sales P1,093,750 P437,500Cost of Sales 656,250 262,500Gross Profit 437,500 175,000Operating Expenses 131,250 65,625Operating Income 306,250 109,375Dividend Income 70,000 0Net Income P 376,250 P109,375 B Co. made sales to A Co. of P140,000 in 2021 and P210,000 in 2022. A Co. reported inventory on December 31, 2021 amounting to P87,500 of which 20% comes from B Co. and inventory on December 31, 2022 amounting to P105,000 of which 30%…
- On December 31, 20X8, Paragraph Corporation acquired 80 percent of Sentence Company's common stock for $136,000. At the acquisition date, the book values and fair values of all of Sentence's assets and liabilities were equal. Paragraph uses the equity method in accounting for its investment. Balance sheet information provided by the companies at December 31, 20X8, immediately following the acquisition is as follows: Cash Accounts Receivable Inventory Fixed Assets (net) Investment in Sentence Co. Total Debits Accounts Payable Notes Payable Common Stock Retained Earnings Total Credits Assets Paragraph Corporation $ 74,000 120,000 180,000 Total Assets Liabilities and Stockholders' Equity 350,000 136,000 $860,000 Total Liabilities and Stockholders' Equity $ 65,000 350,000 150,000 295,000 $860,000 PARAGRAPH CORPORATION AND SUBSIDIARY Consolidated Balance Sheet December 31, 20X8 Required: Prepare a consolidated balance sheet for Paragraph at December 31, 20X8. Sentence Company $ 20,000…Libra Company is purchasing 100% of the outstanding stock of Genall Company for $700,000. Genall has the following balance sheet on the date of acquisition: (see attachment)Appraisals indicate that the following fair values for the assets and liabilities should be acknowledged: Accounts receivable . . . . . . . . . . . . . . . $300,000 Inventory . . . . . . . . . . . . . . . . . . . . . . . . 215,000 Property, plant, and equipment . . . . . . . 700,000 Computer software . . . . . . . . . . . . . . . . 130,000 Current liabilities . . . . . . . . . . . . . . . . . . 250,000 Bonds payable . . . . . . . . . . . . . . . . . . . 210,000 1. Prepare the value analysis schedule and the determination and distribution of excess schedule. 2. Prepare the elimination entries that would be made on a consolidated worksheet prepared on the date of purchase.Calculate the percentage of Bonita acquired by Metlock Company.
- 1. What is the Consolidated Net Income for 2020? 2. What is the Consolidated Net Income for 2021?Accenture purchases 55% of the voting common stock of JBL. After the purchase, Accenture has a controlling influence over JBL. (1) Which method does Accenture use to account for its investment in JBL? (2) What type of financial statements does Accenture prepare after the acquisition?Can you answer this accounting question?