Where are only a proportion of a subsidiary's shares owned by a parent entity? What proportion of the intragroup transactions between the parent entity and the subsidiary will need to be eliminated on consolidation?
Q: Audit sampling involves applying an audit procedure to less than 100 percent of the population for t...
A: Sampling Risk :- Sampling threat is the opportunity that the objects decided on in a pattern ar...
Q: At the beginning of current year, Cash Company reported the following shareholders' equity: Share ca...
A: Retained earnings are that part of a total profit of a company that is retained after paying all cos...
Q: In December 2018, General Electric (GE) had a book value of equity of $51.5 billion, 8.6 billion sha...
A: Market capitalization = Market price per share * Number of shares outstanding Market-to-book ratio =...
Q: on in year 2, and P3 million in year 3. Assuming end of year payments of the proceeds of the contrac...
A: Number of compounding periods means the frequency by which the interest rate will be compounded. Mor...
Q: Assume a company's Income Statement for Year 12 is as follows: Year 12 Income Statement Data Net Rev...
A: Formula for Operating Profit Margin. = Operating Profit / Net Revenue x 100. Formula to Calculate ...
Q: Ice Co. owns 75% interest in Fire Co. On acquisition date, the carrying amount of Fire Co.’s net id...
A: Controlling interest represents the interest controlled by the parent company in the subsidiary comp...
Q: Question #10: Perpetual Inventory Using FIFO The following units of a particular item were availab...
A: First in first out: It refers to an inventory valuation method that is based on the assumption that ...
Q: National Co. is considering whether to pursue a restricted or relaxed current asset investment polic...
A: Return on Equity measures the profitability of equity funds invested in the firm. This ratio reveal...
Q: -. Pharmaly-maly Company has a collection schedule of 60% during the month of sales, 15% the followi...
A: Amount received in September from credit sales in September = Credit sales in September x 60% Collec...
Q: Determ followir
A: Accounting Principles: Accounting principles are the standards that an association observes while an...
Q: "As of today, Americans live on average 20 more years after retiring, which calls for well-designed ...
A: Answer) The engineer has just invested $ 10,000 and will be investing $ 10,000 each year for next 15...
Q: solve the given annuity: ₱1,500 deposited at the beginning of each month for 2 years at 9% compounde...
A: Answer - Formula, Future Value Annuity = P * { (( 1*I)n-1)*(1*I)} / i.
Q: roblem #2 Admission by Purchase of Interest and Investment of Assets The capital accounts of Loida C...
A: The partnership comes into existence when two or more persons agree to do the business and further s...
Q: Compute the amount of (a) production costs transferred from Cutting to Stitching, (b) production cos...
A: Process costing refers to an accounting system which is used by manufacturing companies who are prod...
Q: 8. Determine the ending balance for the Allowance for Uncollectible Accounts Determine the appropria...
A: Solution:- Given, Credit sales = $900,000 Accounts payable = $38,500 Accounts receivable = $55,400 A...
Q: to make a down paymer Jay is going to pay the рay I a. How How
A: Maturity value refers to the sum value of money an entity that has borrowed a loan needs to pay when...
Q: Alex and Jim carry on a business in partnership and split any net income or losses equally. Gross in...
A: A partner who is not a resident of Australia is not taxed on the share of net income of the partners...
Q: The firms similar to Raphael Marco is having a P/E Multiple of 4. Given the earnings per share calcu...
A: P/E Multiple = Market Price per share/ Earnings per share
Q: e was not fairly treated and therefore not promoted. He has secured a similar job in XYZ Limited, on...
A: Fraud refers to the situation either employee uses the information of a company into wrongdoings.
Q: 2. Mala-Inse Company sells its products on account payable in 30 days from the date of sale. Custome...
A: Total Sales Value=P900,000 40% of the customers pay on the 10th day (to avail 3% discount) 60% of th...
Q: subcontracted by the client, specifically in what corresponds to criteria of security, availability,...
A: A SOC for Service Organizations reports are designed to help service organizations that provide ser...
Q: Negros Co.'s factory overhead rate is pre-determined at the start of the fiscal period based on expe...
A: Predetermined overhead rate = Budgeted Fixed Overhead at Normal Capacity/ Number of units produced a...
Q: Problem #4 Admission by Investment of Assets Dapun, Boyo, and Dino have equities in a partnership of...
A: During the admission of a new partner, different methods are used to record the transactions relatin...
Q: Bramble Corporation had the following stockholders' equity accounts on January 1, 2022: Common Stock...
A: Treasury stock refers to such shares which were previously outstanding which have been bought back f...
Q: National Co. believes that its collection costs could be reduced through modification of collection ...
A: Accounts receivable is the amount due (balance) to a firm for goods or services delivered but not ye...
Q: MOWGLI Company provided the following information for the year ended December 31, 2021. Contribution...
A: Net Income: Net income is the amount generated by a person or company after deducting all expenditur...
Q: For each transaction indicate whether it should:
A: In accounting we follow double entry system. Each transaction has...
Q: Define corporation and explain the effects of the continuous inoperation of a corporation.
A: Corporation: A corporation is a legal entity that exists independently of its owners and has its own...
Q: Do Re Mi Cash - P50,000 Cash - P100,000 Cash -P200,000 Notes Payable - Equipment- P50,000 P25,000 Ac...
A: Concept: the total capital of the partnership firm will be equal to the sum of all Assets less the a...
Q: Rosenthal Company manufactures bowling balls through two processes: Molding and Packaging. In the Mo...
A: The question is based on the concept of Cost Accounting. As per the Bartleby guidelines we are allow...
Q: Should an organization take a discount of 1.5/10 N/30 on a $9,000 invoice or simply pay the bill whe...
A: Formula: Discount Amount = Invoice Amount x Discount rate
Q: d. A large customer owing $2.8 million for products it already received declared bankruptcy, leaving...
A: A large customer owing $2.8 million for products it already received declared bankruptcy, leaving no...
Q: Requirements: Record the transactions stated above in the general journal. Post the transactions t...
A: Journal is a book that includes all business transactions, In the journal, all business transactions...
Q: 1.Details the tax liability of corporations to the IRS.
A: Disclaimer: “Since you have asked multiple question, we will solve the first question for you. If yo...
Q: Prepare an income statement for the year ending December 31, 2021
A: Income statement: It is a statement which shows the net income of the company by subtracting total e...
Q: be credit sales at terms n/30. National estimates that a proposed relaxatio om 30 days to 45 days. B...
A: The answer is stated below:
Q: Answering 8-25 and 8-25 all parts
A: In order to determine the sample size of each of the control procedures, we need to use the table of...
Q: Locust Software sells computer training packages to its business customers at a price of $101. The c...
A: “Since you have posted a question with multiple sub-parts, we will solve the first three sub-parts f...
Q: National Co. has P5 million in inventory and P2 million in accounts receivable. Its average daily sa...
A: The inventory conversion period means, in how many days the inventory is converted into sales by the...
Q: Chuzzle Company used the direct method to prepare the statement of cash flows. The entity had the fo...
A: Cash flow statement have three type of activity. Cash flow from operating activities,cash flow from ...
Q: What normal capacity was used to determine the fixed overhead rate? 5,000 5,500 6,000 5,077
A: Solution:- Given, Western Co. has total budgeted fixed costs = 72,000 Actual production of 5,500 un...
Q: ABC owns 30% of MELY, which it purchased on 1 January 20X7 for $5,000,000. At that date, MELY had re...
A: The corporation which has substantial amount of investment in other corporation is called parent com...
Q: ry 4 years. T
A: Cost of vulnerability as, =50% of process Asset=5010010,000,000=$5,000,000
Q: A certain type of machine loses 10% of its value each year. The machine cost P2,000 originally. Ma...
A: Depreciation is the reduction in the value of asset due to its normal use and tear and wear. It is c...
Q: Belle Manufacturing has an unfavorable direct labor rate variance. Which of the following would be t...
A: Labor rate variance is the difference between actual and expected cost of labor. Unfavorable labor r...
Q: Prepare a statement of retained earnings for the year. SKY BLUE CORPORATION Statement of Retained Ea...
A: Retained earnings , closing balance = Opening retained earnings balance + net income - dividends (...
Q: TreTech Corporation (TreTech) sells technology products and provides technology services to customer...
A: Journal entries are used to prepare the books of accounts. It is a basic method of recording financi...
Q: Is it possible for a worksheet's income statement and balance sheet columns to sum up when they are ...
A: solution worksheet for income statement and balance sheet Before preparing the incom...
Q: *The sinking fund factor is the reciprocal of the uniform-series compound amount factor. True False
A: The sinking fund factor is the reciprocal of the uniform-series compound annual factor. Uniform-seri...
Q: April 1, Garcia Publishing Company received $19,980 from Otisco, Inc. for 36-month subscriptions to ...
A: Solution: Amount received in advance is unearned fees which needs to be adjusted at year end to reco...
Where are only a proportion of a subsidiary's shares owned by a parent entity? What proportion of the intragroup transactions between the parent entity and the subsidiary will need to be eliminated on consolidation?
Step by step
Solved in 2 steps
- Why might a subsidiary decide to issue new shares of common stock to parties outside the business combination?Where the parent company does not hold 100 percent equity of the subsidiary company, what portion of the intra-group transactions between the parent entity and the subsidiary entity will need to be eliminated on consolidation? What is a non-controlling interest, and how should it be disclosed? How are non-controlling interests affected by intra-group transactions? What are the three steps we use to calculate total non-controlling interest?What is the answer of following question? (a) Where the parent company does not hold 100 percent equity of the subsidiary company, what portion of theintra-group transactions between the parent entity and the subsidiary entity will need to be eliminated on consolidation? (b) What is a non-controlling interest, and how should it be disclosed? (c) How are non-controlling interests affected by intra-group transactions? (d) What are the three steps we use to calculate total non-controlling interest?
- What is a basic premise of the acquisition method regarding accounting for a noncontrolling interest?a. Consolidated financial statements should be primarily for the benefit of the parent company’s stockholders.b. Consolidated financial statements should be produced only if both the parent and the subsidiary are in the same basic industry.c. A subsidiary is an indivisible part of a business combination and should be included in its entirety regardless of the degree of ownership.d. Consolidated financial statements should not report a noncontrolling interest balance because these outside owners do not hold stock in the parent company.What is the correct method for treating a vesting differential linked to the acquisition of shares? privileged rights of the subsidiary by the parent company? Select an answer: a. It must be allocated to identifiable net assets or goodwill. b. It must be distributed in proportion to the identifiable assets and liabilities of the subsidiary. c. It must be charged to consolidated retained earnings or credited to contributed surplus. d. It must be taken care of in the current year.Answer these questions about consolidation accounting:1. Define parent company. Define subsidiary company.2. How do consolidated financial statements differ from the financial statements of a singlecompany?3. Which company’s name appears on the consolidated financial statements? How much ofthe subsidiary’s shares must the parent own before using consolidated statements?
- (a) Where the parent company does not hold 100 percent equity of the subsidiary company, what portion of the intra-group transactions between the parent entity and the subsidiary entity will need to be eliminated on consolidation? (b) What is a non-controlling interest, and how should it be disclosed? (c) How are non-controlling interests affected by intra-group transactions? (d) What are the three steps we use to calculate total non-controlling interest? Show workingWhat share of the intra-group transactions between the parent entity and the subsidiary entity will need to be deleted on consolidation if the parent firm does not own 100 percent of the subsidiary company?Choose the correct. What is a basic premise of the acquisition method regarding accounting for noncontrolling interest?a. Consolidated financial statements should be primarily for the benefit of the parent company’s stockholders.b. Consolidated financial statements should be produced only if both the parent and the subsidiary are in the same basic industry.c. A subsidiary is an indivisible part of a business combination and should be included in its entirety regardless of the degree of ownership.d. Consolidated financial statements should not report a noncontrolling interest balance because these outside owners do not hold stock in the parent company.