Company P owns 55% of Company S. Professional judgement has applied, and it is concluded that company P controls company S. The 2019 partial pre-tax income statements of both companies are shown below. Assume no other expenses than indicated below.

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S Revenues $150,000 $85,000 Miscellaneous Expenses $30,000 $20,000 Depreciation Expense $40,000 $25,000 S Revenues $150,000 $85,000 Miscellaneous Expenses $30,000 $20,000 Depreciation Expense $40,000 $25,000

Answer rating: 100% (QA)

Company P Revenues 150000 Miscellaneous Expenses 30000 Depreciation Expen... View the full answer