Concept explainers
a.
Introduction: Consolidated is the process of summarizing and combining the financial statement of two companies into one. Consolidate net income is the sum total of net income of the holding company and net income of its subsidiary companies after deducting unrealized gain in inventories and income from intra-group transactions of the companies.
To prepare: Calculation of consolidate net income for the year 20X8.
b.
Introduction: Consolidated is the process of summarizing and combining the financial statement of two companies into one. Consolidate net income is the sum total of net income of the holding company and net income of its subsidiary companies after deducting unrealized gain in inventories and income from intra-group transactions of the companies.
To prepare: Change in amount of consolidated net income.
c.
Introduction: Consolidated is the process of summarizing and combining the financial statement of two companies into one. Consolidate net income is the sum total of net income of the holding company and net income of its subsidiary companies after deducting unrealized gain in inventories and income from intra-group transactions of the companies.
To prepare: Eliminating entries at the year ended Dec 20X8 to eliminate the effect of Intercompany sale.
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Chapter 7 Solutions
Advanced Financial Accounting
- Brun Company produces its product through two processing departments: Mixing and Baking. Information for the Mixing department follows. Direct Materials Conversion Unit Percent Complete Percent Complete Beginning work in process inventory 7.500 Units started this period 104,500 Units completed and transferred out 100.000 Ending work in process inventory 12.000 100% 25% Beginning work in process inventory Direct materials Conversion $6.800 14.500 $21.300 Costs added this period Drect materials 116,400 Conversion Total costs to account for 1.067,000 1.183.400 $1.204.700 Required 1. Prepare the Mixing department's production cost report for November using the weighted average method Check (1) C$1.000 2. Prepare the November 30 journal entry to transfer the cost of completed units from Mixing to Bakingarrow_forwardNonearrow_forwardNot need ai solution please solve this general accounting questionarrow_forward
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