How much equity income is reported by Pez in 2021 ?

Q: Robbins owns 40% of Smith and has a balance in its Investment Account of $200,000. On January 1,…

A: The management usually decides to made investments by purchasing the stocks of other corporations to…

Q: Angela, Incorporated, holds a 90 percent interest in Corby Company. During 2023, Corby sold…

A: Noncontrolling interest refers to the ownership interest in a subsidiary company that is not…

Q: High owns 60% of Low. In 2019, Low sold inventory (ost $70,000) to High for $100,000. 40% of this…

A: Total Profit = Profit for 2020 reported by Low + Profit in beginning stock not sold to the third…

Q: Larry owns 90 of the 100 outstanding shares of EDP Corporation. Larry acquired the 90shares in 2009…

A: In the given case, the stock redemption (as both the corporations are under common contro) will not…

Q: Peter carries on a retail business and sells substantial amounts of trading stock in his business.…

A: In the given question the trading stock in previous tax year was valued at $57000. The Stock at the…

Q: all owns 70% of Short. In 2020, Tall reports third party Purchases of $800,000 and Purchases from…

A: Consolidation - When an enterprise control another enterprise, in that case, the enterprises that is…

Q: Help me please asap. Don't use any AI. It's strictly prohibited.

A: The noncontrolling interest in Teller's net income for 2022 is $26,400Explanation:Here's a detailed…

Q: Top owns 80% of Bottom  On January 1, 2018 Bottom sell Land (cost of $60,000) to Top for $100,000.…

A: Solutuion The consolidation entry at the year of transfer is Unrealized gain                 =100000…

Q: P Corporation acquired an 80% interest in S Corporation on January 1, 2014, when the book values of…

A: Unrealized loss on inventory sold to S = (Cost of merchandise sold - sales value of merchandise…

Q: Adams owns 80% of Williams and the carrying value of the investment on January 1, 2020 is $600,000.…

A: Common Stock: The funds invested by those individuals and organization who owns a company is known…

Q: At the time of retirement, Tyre had 500 pcs of merchandise which was deemed sale at a value of…

A: Tax on merchandise (VAT) is the tax levied on the addition on the stage of production and service to…

Q: Rollins owns 100% of Felix.Rollins purchased equipment on January 1, 2002 for $100,000. The…

A: Hi student Since there are multiple subparts asked, we will answer only first three subparts.…

Q: Adams transfers Blackacre to Newco in exchange for 100% of its common stock. Adams (6) acquired…

A: It is the amount of tax a taxpayer is liable to pay on the taxable income earned. The tax liability…

Q: Flynn acquires 100 percent of the outstanding voting shares of Macek Company on January 1, 2020. To…

A: Consolidated statements are issued by those business enterprises which have one or more operating…

Q: Flynn acquires 100 percent of the outstanding voting shares of Macek Company on January 1, 2020. To…

A: Consolidation means combination of assets and liabilities and other financial items of two or more…

Q: Plump Corporation holds 60 percent ownership of Slim Company. Each year, Slim purchases large…

A: We need to calculate the income from Slim. Knowing that Plump has 60% ownership interest to Slim, we…

Q: EM owns 30% of MOCK's share capital. During the year to 31 December 2011, MOCK sold inventories at…

A: As per the provision of IAS 28 Investment in associates, unrealised profit from the transaction…

Q: Flynn acquires 100 percent of the outstanding voting shares of Macek Company on January 1, 2020. To…

A: The answer for the multiple choice question and relevant working are presented hereunder : As Flynn…

Q: ic. ac bu per years ago. 2020, Homer nventory costing P75,000 to Boboy for P100.000. A total of 16…

A: Cost of goods sold: It is the cost of goods which incurred for the sales of goods to the buyer at…

Q: Vishnu

A: Equity Method: The equity approach is an accounting technique applied to sizable investments that do…

Q: Wendell owns 100% of the outstanding stock of Group Corporation. During the current year, Wendell…

A: Issuance of stock in exchange for property (non-taxable @NBV)   Non-taxable transaction under…

Q: RAM, Inc., acquired a 60 percent interest in LMU Company several years ago. During 2017, LMU sold…

A: Cost of Goods Sold - It the value of costs which are incurred in the transacting sales of goods or…

Q: P Co acquired an 80% interest in S Co on1/1/2014, when the book values of S assets and liabilities…

A: Unrealized loss on inventory sold to S = (Cost of merchandise sold - sales value of merchandise…

Q: Brown purchases 30% of Orange Company on Jan. 1, 2016 for $300,000. This acquisition gave Brown the…

A: Significant Influence  It refers to the power to participate in the financial and operating policy…

Q: P Inc. owns a 60% interest in S Corp.  During 2020 S sold inventory costing $160,000 to P for…

A:

Q: high owns 60%of low sold inventory (cost 70,000) to high for 100,000.  40% of this inventory was not…

A: Computation of the Non Controlling interest in 2020 income of Low : Profit percent in Opening stock…

Q: a.) What does Pat report for Sales, COGS, Net Profit, and Inventory for 2020? What does Sam report…

A: Honor Code: Since you have posted a question with multiple sub-parts, we will solve the first three…

Q: JESSIE Co. purchased 95% of the stock of CODY Co. on January 2013. On that date, the book value of…

A: J company purchased 95% of C's stock The unrealized profit on the sale of inventory= $12500 During…

Q: (10) In a liquidating distribution, Janice Rand receives cash of $40,000, inventory (basis of…

A: Since you have posted a question with multiple sub-parts, we will solve first three sub[1]parts for…

Q: Kara and Mia formed a joint arrangement to acquire and sell a special type of merchandise. Kara is…

A: Given that: Merchandise purchase value = P10,000 Freight on merchandise purchased = P240 Sale of…

Q: Wang be required to make to reflect the increase in ownership.

A: Capital: Capital is the amount a person invested in the company as an intital investment and showed…

Q: Stevens owns 60% of David. In 2020 Stevens has net income of $80,000 and David has net income of…

A: A Non-controlling interest is also considered as a minority interest. This is the portion of…

Q: Brooks owns 20% of Ghost Inc. The following information pertains to an intra entity transfer. What…

A: A journal entry is a form of accounting entry that is used to report a business transaction in a…

Q: Flynn acquires 100 percent of the outstanding voting shares of Macek Company on January 1, 2020. To…

A: Acquisition  is the process which is followed by a firm when it acquired other company and hold all…

Q: On January 1, 2019, Uncle Company purchased 80 percent of Nephew Company's capital stock for…

A: Consolidation of financial accounts occurs when holding and subsidiary relationship occurs. When a…

Q: What is the consolidation worksheet entry required to be made at the end of 2020 for the unrealized…

A: Sales done in 2020 by Finger is $80,000.

Q: Penny owns 501 shares of Mack Co. They have an adjusted cost base of $15.6 per share. On March 31,…

A: Adjusted cost bases is the basis in which all costs which are paid to acquire the shares are taken…

Q: EM owns 30% of MOCK's share capital. During the year to 31 December 2011, MOCK sold inventories at…

A: MOCK Net profit 500,000   Stock sold(Exces profit amount)     (60% *2,000,000) =…

Q: Belden, Inc., acquires 30 percent of the outstanding voting shares of Sheffield, Inc., on January 1,…

A: Income statement:The income statement is the statement or the record that is prepared by the company…

Q: What amount should Dysabel report as Cost of sales in its 2020 consolidated income statement?

A: Cost of sales can be defined as the actual cost incurred over the goods to make the available for…

Q: Lorn Corporation purchased inventory from Dresser Corporation for P120,000 on September 20, 20x2,…

A: (A). P60,000 is the correct option.

Q: High owns 60% of Low. In 2019, Low sold inventory (cost $70,000) to High for $100,000.  40% of this…

A: The non controlling interest is the interest earned by minority shareholders have share less than…

Q: 2. In 2020 Gouda owns 60% of Cheddar & Associates. Cheddar & Associates is an accounting firm and…

A: a).  Sales =4200000 operating expenses =$1500000 Profit = sales - operating expenses            =…

Q: On January 1, 2021, Byrd and Gates own equally (nfty percent (50W) of the stock of Boudreaux…

A: The answer for the multiple choice question and relevant working are presented hereunder : Byrd and…

Capital Gain

Any capital asset when sold can give the seller a higher or lower price from its purchase price leading to a capital gain or capital loss. The time period of holding an asset is decided based on if it is a long term or short-term capital gain. On that basis, the rate of taxation is decided if it is 20%, 15% or according to the tax brackets. The rate of taxation differs in the case of equity or debt, whether long or short term. The capital gain can be adjusted from capital loss to arrive at a net capital gain. The amount of gains and the exemption has to be reported in the tax return filed in the financial year in which the asset was transferred. The tax return can be filed quarterly, monthly, semi-annually or annually.