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Required: With these facts, determine the consolidated balances for the following: Note: Input all amounts as positive values. Answer is complete but not entirely correct. Consolidated Balance Sales Cost of goods sold Operating expenses Dividend income Net income attributable to noncontrolling interest Inventory Noncontrolling interest in subsidiary, 12/31/24 $ 1,230,000 S 675,500 S 274,000 IS $ $ S 0 50.400 1,063,000 785,000 X

Required: With these facts, determine the consolidated balances for the following: Note: Input all amounts as positive values. Answer is complete but not entirely correct. Consolidated Balance Sales Cost of goods sold Operating expenses Dividend income Net income attributable to noncontrolling interest Inventory Noncontrolling interest in subsidiary, 12/31/24 $ 1,230,000 S 675,500 S 274,000 IS $ $ S 0 50.400 1,063,000 785,000 X

FINANCIAL ACCOUNTING
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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ProForm acquired 60 percent of ClipRite on June 30, 2023, for $780,000 in cash. Based on ClipRite's acquisition-date fair value, an unrecorded intangible of $560,000 was recognized and is being amortized at the rate of $14,000 per year. No goodwill was recognized in the acquisition. The noncontrolling interest fair value was assessed at $520,000 at the acquisition date. The 2024 financial statements are as follows: Items Sales Cost of goods sold Operating expenses Dividend income Net income Retained earnings, 1/1/24 Net income Dividends declared Retained earnings, 12/31/24 cash and receivables Inventory Investment in ClipRite Fixed assets A32 Accumulated depreciation Totals Liabilities Common stock Retained earnings, 12/31/24 Totals Proform $ (840,000) 555,000 140,000 (54,000) $ (199,000) Sales Cost of goods sold Operating expenses Dividend income Net income attributable to noncontrolling interest Inventory Noncontrolling Interest in subsidiary, 12/31/24 $ (1,300,000) (199,000) 140,000 $ (1,359,000) $ 440,000 330,000 780,000 1,400,000 (500,000) $ 2,450,000 $ (591,000) (500,000) (1,359,000) $ (2,450,000) $ (1,630,000) Answer is complete but not entirely correct. Consolidated Balance clipRite $ (680,000) 420,000 120,000 Note: Parentheses indicate a credit balance. ProForm sold ClipRite inventory costing $73,000 during the last six months of 2023 for $128,000. At year-end, 30 percent remained. ProForm sold ClipRite inventory costing $220,000 during 2024 for $290,000. At year-end, 10 percent is left. Required: With these facts, determine the consolidated balances for the following: Note: Input all amounts as positive values. 1,230,000 675.500 274,000 $ (140,000) $ (890,000) (140,000) 90,000 $ (940,000) $ 340,000 740,000 S S S S S 50.400 $ 1,063,000 S 0 800,000 (250,000) $ 1,630,000 0 $ (190,000) (500,000) (940,000) 785,000 X
Transcribed Image Text:ProForm acquired 60 percent of ClipRite on June 30, 2023, for $780,000 in cash. Based on ClipRite's acquisition-date fair value, an unrecorded intangible of $560,000 was recognized and is being amortized at the rate of $14,000 per year. No goodwill was recognized in the acquisition. The noncontrolling interest fair value was assessed at $520,000 at the acquisition date. The 2024 financial statements are as follows: Items Sales Cost of goods sold Operating expenses Dividend income Net income Retained earnings, 1/1/24 Net income Dividends declared Retained earnings, 12/31/24 cash and receivables Inventory Investment in ClipRite Fixed assets A32 Accumulated depreciation Totals Liabilities Common stock Retained earnings, 12/31/24 Totals Proform $ (840,000) 555,000 140,000 (54,000) $ (199,000) Sales Cost of goods sold Operating expenses Dividend income Net income attributable to noncontrolling interest Inventory Noncontrolling Interest in subsidiary, 12/31/24 $ (1,300,000) (199,000) 140,000 $ (1,359,000) $ 440,000 330,000 780,000 1,400,000 (500,000) $ 2,450,000 $ (591,000) (500,000) (1,359,000) $ (2,450,000) $ (1,630,000) Answer is complete but not entirely correct. Consolidated Balance clipRite $ (680,000) 420,000 120,000 Note: Parentheses indicate a credit balance. ProForm sold ClipRite inventory costing $73,000 during the last six months of 2023 for $128,000. At year-end, 30 percent remained. ProForm sold ClipRite inventory costing $220,000 during 2024 for $290,000. At year-end, 10 percent is left. Required: With these facts, determine the consolidated balances for the following: Note: Input all amounts as positive values. 1,230,000 675.500 274,000 $ (140,000) $ (890,000) (140,000) 90,000 $ (940,000) $ 340,000 740,000 S S S S S 50.400 $ 1,063,000 S 0 800,000 (250,000) $ 1,630,000 0 $ (190,000) (500,000) (940,000) 785,000 X
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