Webb Co. acquired 100% of Rand Inc. on January 5, 2018. During 2018, Webb sold goods to Rand for $2,400,000 that cost Webb $1,800,000. Rand still owned 40% of the goods at the end of the year. Cost of goods sold was $10,800,000 for Webb and $6,400,000 for Rand. What was consolidated cost of goods sold? a. $17,200,000. b. $15,040,000. c. $14,800,000. d. $15,400,000. e. $14,560,000.

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Chapter12: Balanced Scorecard And Other Performance Measures
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Webb Co. acquired 100% of Rand Inc. on January 5, 2018. During
2018, Webb sold goods to Rand for $2,400,000 that cost Webb
$1,800,000. Rand still owned 40% of the goods at the end of the
year. Cost of goods sold was $10,800,000 for Webb and
$6,400,000 for Rand. What was consolidated cost of goods sold?
a. $17,200,000.
b. $15,040,000.
c. $14,800,000.
d. $15,400,000.
e. $14,560,000.
Transcribed Image Text:Webb Co. acquired 100% of Rand Inc. on January 5, 2018. During 2018, Webb sold goods to Rand for $2,400,000 that cost Webb $1,800,000. Rand still owned 40% of the goods at the end of the year. Cost of goods sold was $10,800,000 for Webb and $6,400,000 for Rand. What was consolidated cost of goods sold? a. $17,200,000. b. $15,040,000. c. $14,800,000. d. $15,400,000. e. $14,560,000.
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