Presto Inc. acquired 75% outstanding ordinary shares of Sun Corp. Presto regularly sells inventory to Sun Corp with profit. The computation of non-controlling interest in net income will be: Group of answer choices A. (Net income of subsidiary – realized profit in beginning inventory + unrealized profit in ending inventory) x 25% B. (Net income of subsidiary + amortization of overvalued assets – amortization of undervalued assets + realized profit in beginning inventory – unrealized profit in ending inventory) x 25% C. (Net income of subsidiary + amortization of overvalued assets – amortization of undervalued assets) x 25% D. (Net income of subsidiary + realized profit in beginning inventory – unrealized profit in ending inventory) x 25%

Q: Assume on July 1, 2022, a parent company paid $1,656,000 to purchase an 80% interest in a…

A: The Goodwill is the amount of purchase consideration paid in excess of fair value of net…

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Q: 49. Consolidation on date of acquisition-Noncontrolling in The excess of the total fair value of the…

A: Consolidation is an activity in which financial statements of a parent and its subsidiary should be…

Q: 2. On December 31, 2020, Parent company (A) acquired 80% of Subsidiary (B) outstanding common stocks…

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Q: Determine the Non-controlling interest in Net assests of subsidiary

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Q: H has a 75% owned subsidiary S. During the year ending 31 December 2021 H sold inventory to  S for…

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Q: On January 1, 20x1, ABC Company acquired 80% of XYZ Company's common stock for 275,000 cash. At that…

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Q: during 2020. For consolidation purposes, what is the non- controlling interest in net income of S fo

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Q: S co. is owned 85% by its parent P co., 10% by Reb and 5% by Cindy. Assume that each shareholder has…

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Q: H has a 75% owned subsidiary S. During the year ending 31 December 2021 H sold inventory to  S for…

A: Lets understand the basics. When transaction of inventory happen between inter company then there is…

Q: Dysabel Corp. owns 80% of Marina, Inc.'s common stock. During 2020, Dysabel sold Marina P337,500 of…

A: Following is the answer to the given question

Q: entory costing to Its 80%-owned subsidiary for P210,000. A portion of this was resold by the…

A: 1. 225,000 2. 4,658,000 3. 7,240,000 1. Record upon sale to subsidiary   Debit Credit Parent…

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A: Goodwill attributable to the non-controlling interest will be equal to 20% of total goodwill.

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Q: the years subsequent to the year of sale of a 90% owned subsidiary who sells equipment to its parent…

A: Solution Concept When there is a sale made (upstream or down stream ) and if the goods remains…

Q: uring 2019, S sold merc

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A: Answer: Option (D). Minus the net amount of unrealized gain on the intercompany sales is correct.

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A: Solution:- Preparation of the journal entries to record the non-controlling interest as follows…

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Q: a) Prepare any necessary journal entries in the consolidation journal to adjust for this transaction…

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Consolidation

Consolidation in general examination implies an asset oscillating between well-defined methods of trading status. Consolidation is commonly known as market indecisiveness, which completes when the asset's values move forward or backward the trading structure.