Musical Corporation purchases 80% of the common shares of Dustin Corporation on January 1, 2025. On January 2, 2025, Dustin Corporation purchases 60% of the common stock of Rustin Corporation. Information on company book values on the date of purchase and operating results for 2025 is as follows: Company Musical Corporation Dustin Corporation Rustin Corporation 2025 Operating Income 100,000 80,000 50,000 Book Value Purchase Price 800,000 300,000 200,000 240,000 120,000 1. How much is the consolidated net income for 2025? 2. The amount of 2025 income assigned to the noncontrolling interest of Rustin Corporation is: 3. The amount of 2025 income assigned to the noncontrolling interest of Dustin Corporation is:

Musical Corporation purchases 80% of the common shares of Dustin Corporation on January 1, 2025. On January 2, 2025, Dustin Corporation purchases 60% of the common stock of Rustin Corporation. Information on company book values on the date of purchase and operating results for 2025 is as follows: Company Musical Corporation Dustin Corporation Rustin Corporation 2025 Operating Income 100,000 80,000 50,000 Book Value Purchase Price 800,000 300,000 200,000 240,000 120,000 1. How much is the consolidated net income for 2025? 2. The amount of 2025 income assigned to the noncontrolling interest of Rustin Corporation is: 3. The amount of 2025 income assigned to the noncontrolling interest of Dustin Corporation is:

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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