Pie Corporation acquired 75 percent of Slice Company's ownership on January 1, 20x8, for $99,000. At...
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Pie Corporation acquired 75 percent of Slice Company's ownership on January 1, 20x8, for $99,000. At that date, the fair value of the noncontrolling interest was $33,000. The book value of Slice's net assets at acquisition was $100,000. The book values and fair values of Slice's assets and liabilities were equal, except for Slice's buildings and equipment, which were worth $20,000 more than book value. Accumulated depreciation on the buildings and equipment was $30,000 on the acquisition date. Buildings and equipment are depreciated on a 10-year basis. Although goodwill is not amortized, the management of Pie concluded at December 31, 20X8, that goodwill from its purchase of Slice shares had been impaired and the correct carrying amount was $2,500. Goodwill and goodwill impairment were assigned proportionately to the controlling and noncontrolling shareholders. No additional impairment occurred in 20X9. Trial balance data for Pie and Slice on December 31, 20X9, are as follows: Item Cash Accounts Receivable Inventory Land Buildings & Equipment Investment in Slice Company Cost of Goods Sold Wage Expense Depreciation Expense $ Pie Corporation Debit 72,500 86,000 98,000 60,000 352,000 109,875 138,000 35,000 25.000 Credit Slice Company Debit $ 38,000 16,000 26,000 27,000 151,000 113,000 20,000 10.000 Credit ********** Interest Expense Other Expenses Dividends Declared Accumulated Depreciation. Accounts Payable Wages Payable Notes Payable Common Stock Retained Earnings Sales Income from Slice Co. -- 12,000 23,000 33,000 $1,044,375 $ 168,000 41,000 10,000 164,750 198,000 133,875 298,000 30,758 $1,044,375 avjeve 3,000 16,000 23,000 $443,000 $ 50,000 11,000 6,000 63,000 60,000 48,000 205,000 $443,000 Required: a. Record all consolidation entries needed to prepare a three-part consolidation worksheet as of December 31, 20X9. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) 1 15 points Skopped eflook References Mc A B C Entry 1 Record the basic consolidation entry. Note: Enter debits before credits. D Accounts Debit 315 Credit CH 1 5 moints Skopped eBook References A B Entry 2 C Record the amortized excess value reclassification entry. Note: Enter debits before credits. Record entry D Accounts Clear entry Debit Credit view consolidation entries h 5 Less than wholly owned subs - Graded HW 1 5 points Skipped ellook References <A B C Note: Enter debits before credits. Entry 3 Record entry D Record the excess value (differential) reclassification entry. Accounts Saved Clear entry Debit Credit view consolidation entries Help Save & CH < A B Entry 4 C Record the optional accumulated depreciation consolidation entry. Note: Enter debits before credits. Record entry D Accounts Clear entry Debit Credit view consolidation entries b. Prepare a three-part consolidation worksheet for 20X9. (Round your answers to the nearest dollar amount. Values in the first two columns (the "parent" and "subsidiary" balances) that are to be deducted should be indicated with a minus sign, while all values in the "Consolidation Entries" columns should be entered as positive values. For accounts where multiple adjusting entries are required, combine all debit entries into one amount and enter this amount in the debit column of the worksheet. Similarly, combine all credit entries into one amount and enter this amount in the credit column of the worksheet.) Income Statement Sales Less: COGS Less: Wage expense Less: Depreciation expense Less: Interest expense Less: Other expenses PIE CORPORATION AND SUBSIDIARY Worksheet for Consolidated Financial Statements December 31, 20X9 Pie Corp. Slice Co. Consolidation Entries CR DR Consolidated wwww.. Income from Slice Company Consolidated net income NCI in net income Controlling Interest in Net Income Statement of Retained Earnings Beginning balance Net income Less: Dividends declared Ending Balance Balance Sheet Cash Accounts receivable Inventory Land Buildings and equipment Less: Accumulated depreciation Investment in Slice Company $ $ $ 0 $ 0 $ 0 $ 0 $ 0 $ 0 $ 0 0 $ 0 $ 0 $ 0 0 10 $ 0 0 0 Goodwill Total Assets Accounts payable Wages payable Notes payable Common stock Retained earnings NCI in NA of Slice Company Total Liabilities and Equity $ $ 0 $ 0 $ 0 $ 0$ 0 S 0 $ 0 $ 0 $ 0 0 c. Prepare a consolidated balance sheet, income statement, and retained earnings statement for 20X9. (Round your answers to the nearest dollar amount. Amounts to be deducted should be indicated with a minus sign.) Assets Total Assets Liabilities PIE CORPORATION AND SUBSIDIARY Consolidated Balance Sheet December 31, 20X9 $ 0 0 Liabilities Stockholders' Equity: Controlling Interest: Total Controlling Interest Total Stockholder's Equity Total Liabilities and Stockholders' Equity 0 0 0 PIE CORPORATION AND SUBSIDIARY Consolidated Income Statement Year Ended December 31, 20X9 Total expenses Consolidated net income Income to controlling interest $ 0 0 0 Pie Corporation acquired 75 percent of Slice Company's ownership on January 1, 20x8, for $99,000. At that date, the fair value of the noncontrolling interest was $33,000. The book value of Slice's net assets at acquisition was $100,000. The book values and fair values of Slice's assets and liabilities were equal, except for Slice's buildings and equipment, which were worth $20,000 more than book value. Accumulated depreciation on the buildings and equipment was $30,000 on the acquisition date. Buildings and equipment are depreciated on a 10-year basis. Although goodwill is not amortized, the management of Pie concluded at December 31, 20X8, that goodwill from its purchase of Slice shares had been impaired and the correct carrying amount was $2,500. Goodwill and goodwill impairment were assigned proportionately to the controlling and noncontrolling shareholders. No additional impairment occurred in 20X9. Trial balance data for Pie and Slice on December 31, 20X9, are as follows: Item Cash Accounts Receivable Inventory Land Buildings & Equipment Investment in Slice Company Cost of Goods Sold Wage Expense Depreciation Expense $ Pie Corporation Debit 72,500 86,000 98,000 60,000 352,000 109,875 138,000 35,000 25.000 Credit Slice Company Debit $ 38,000 16,000 26,000 27,000 151,000 113,000 20,000 10.000 Credit ********** Interest Expense Other Expenses Dividends Declared Accumulated Depreciation. Accounts Payable Wages Payable Notes Payable Common Stock Retained Earnings Sales Income from Slice Co. -- 12,000 23,000 33,000 $1,044,375 $ 168,000 41,000 10,000 164,750 198,000 133,875 298,000 30,758 $1,044,375 avjeve 3,000 16,000 23,000 $443,000 $ 50,000 11,000 6,000 63,000 60,000 48,000 205,000 $443,000 Required: a. Record all consolidation entries needed to prepare a three-part consolidation worksheet as of December 31, 20X9. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) 1 15 points Skopped eflook References Mc A B C Entry 1 Record the basic consolidation entry. Note: Enter debits before credits. D Accounts Debit 315 Credit CH 1 5 moints Skopped eBook References A B Entry 2 C Record the amortized excess value reclassification entry. Note: Enter debits before credits. Record entry D Accounts Clear entry Debit Credit view consolidation entries h 5 Less than wholly owned subs - Graded HW 1 5 points Skipped ellook References <A B C Note: Enter debits before credits. Entry 3 Record entry D Record the excess value (differential) reclassification entry. Accounts Saved Clear entry Debit Credit view consolidation entries Help Save & CH < A B Entry 4 C Record the optional accumulated depreciation consolidation entry. Note: Enter debits before credits. Record entry D Accounts Clear entry Debit Credit view consolidation entries b. Prepare a three-part consolidation worksheet for 20X9. (Round your answers to the nearest dollar amount. Values in the first two columns (the "parent" and "subsidiary" balances) that are to be deducted should be indicated with a minus sign, while all values in the "Consolidation Entries" columns should be entered as positive values. For accounts where multiple adjusting entries are required, combine all debit entries into one amount and enter this amount in the debit column of the worksheet. Similarly, combine all credit entries into one amount and enter this amount in the credit column of the worksheet.) Income Statement Sales Less: COGS Less: Wage expense Less: Depreciation expense Less: Interest expense Less: Other expenses PIE CORPORATION AND SUBSIDIARY Worksheet for Consolidated Financial Statements December 31, 20X9 Pie Corp. Slice Co. Consolidation Entries CR DR Consolidated wwww.. Income from Slice Company Consolidated net income NCI in net income Controlling Interest in Net Income Statement of Retained Earnings Beginning balance Net income Less: Dividends declared Ending Balance Balance Sheet Cash Accounts receivable Inventory Land Buildings and equipment Less: Accumulated depreciation Investment in Slice Company $ $ $ 0 $ 0 $ 0 $ 0 $ 0 $ 0 $ 0 0 $ 0 $ 0 $ 0 0 10 $ 0 0 0 Goodwill Total Assets Accounts payable Wages payable Notes payable Common stock Retained earnings NCI in NA of Slice Company Total Liabilities and Equity $ $ 0 $ 0 $ 0 $ 0$ 0 S 0 $ 0 $ 0 $ 0 0 c. Prepare a consolidated balance sheet, income statement, and retained earnings statement for 20X9. (Round your answers to the nearest dollar amount. Amounts to be deducted should be indicated with a minus sign.) Assets Total Assets Liabilities PIE CORPORATION AND SUBSIDIARY Consolidated Balance Sheet December 31, 20X9 $ 0 0 Liabilities Stockholders' Equity: Controlling Interest: Total Controlling Interest Total Stockholder's Equity Total Liabilities and Stockholders' Equity 0 0 0 PIE CORPORATION AND SUBSIDIARY Consolidated Income Statement Year Ended December 31, 20X9 Total expenses Consolidated net income Income to controlling interest $ 0 0 0 Pie Corporation acquired 75 percent of Slice Company's ownership on January 1, 20x8, for $99,000. At that date, the fair value of the noncontrolling interest was $33,000. The book value of Slice's net assets at acquisition was $100,000. The book values and fair values of Slice's assets and liabilities were equal, except for Slice's buildings and equipment, which were worth $20,000 more than book value. Accumulated depreciation on the buildings and equipment was $30,000 on the acquisition date. Buildings and equipment are depreciated on a 10-year basis. Although goodwill is not amortized, the management of Pie concluded at December 31, 20X8, that goodwill from its purchase of Slice shares had been impaired and the correct carrying amount was $2,500. Goodwill and goodwill impairment were assigned proportionately to the controlling and noncontrolling shareholders. No additional impairment occurred in 20X9. Trial balance data for Pie and Slice on December 31, 20X9, are as follows: Item Cash Accounts Receivable Inventory Land Buildings & Equipment Investment in Slice Company Cost of Goods Sold Wage Expense Depreciation Expense $ Pie Corporation Debit 72,500 86,000 98,000 60,000 352,000 109,875 138,000 35,000 25.000 Credit Slice Company Debit $ 38,000 16,000 26,000 27,000 151,000 113,000 20,000 10.000 Credit ********** Interest Expense Other Expenses Dividends Declared Accumulated Depreciation. Accounts Payable Wages Payable Notes Payable Common Stock Retained Earnings Sales Income from Slice Co. -- 12,000 23,000 33,000 $1,044,375 $ 168,000 41,000 10,000 164,750 198,000 133,875 298,000 30,758 $1,044,375 avjeve 3,000 16,000 23,000 $443,000 $ 50,000 11,000 6,000 63,000 60,000 48,000 205,000 $443,000 Required: a. Record all consolidation entries needed to prepare a three-part consolidation worksheet as of December 31, 20X9. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) 1 15 points Skopped eflook References Mc A B C Entry 1 Record the basic consolidation entry. Note: Enter debits before credits. D Accounts Debit 315 Credit CH 1 5 moints Skopped eBook References A B Entry 2 C Record the amortized excess value reclassification entry. Note: Enter debits before credits. Record entry D Accounts Clear entry Debit Credit view consolidation entries h 5 Less than wholly owned subs - Graded HW 1 5 points Skipped ellook References <A B C Note: Enter debits before credits. Entry 3 Record entry D Record the excess value (differential) reclassification entry. Accounts Saved Clear entry Debit Credit view consolidation entries Help Save & CH < A B Entry 4 C Record the optional accumulated depreciation consolidation entry. Note: Enter debits before credits. Record entry D Accounts Clear entry Debit Credit view consolidation entries b. Prepare a three-part consolidation worksheet for 20X9. (Round your answers to the nearest dollar amount. Values in the first two columns (the "parent" and "subsidiary" balances) that are to be deducted should be indicated with a minus sign, while all values in the "Consolidation Entries" columns should be entered as positive values. For accounts where multiple adjusting entries are required, combine all debit entries into one amount and enter this amount in the debit column of the worksheet. Similarly, combine all credit entries into one amount and enter this amount in the credit column of the worksheet.) Income Statement Sales Less: COGS Less: Wage expense Less: Depreciation expense Less: Interest expense Less: Other expenses PIE CORPORATION AND SUBSIDIARY Worksheet for Consolidated Financial Statements December 31, 20X9 Pie Corp. Slice Co. Consolidation Entries CR DR Consolidated wwww.. Income from Slice Company Consolidated net income NCI in net income Controlling Interest in Net Income Statement of Retained Earnings Beginning balance Net income Less: Dividends declared Ending Balance Balance Sheet Cash Accounts receivable Inventory Land Buildings and equipment Less: Accumulated depreciation Investment in Slice Company $ $ $ 0 $ 0 $ 0 $ 0 $ 0 $ 0 $ 0 0 $ 0 $ 0 $ 0 0 10 $ 0 0 0 Goodwill Total Assets Accounts payable Wages payable Notes payable Common stock Retained earnings NCI in NA of Slice Company Total Liabilities and Equity $ $ 0 $ 0 $ 0 $ 0$ 0 S 0 $ 0 $ 0 $ 0 0 c. Prepare a consolidated balance sheet, income statement, and retained earnings statement for 20X9. (Round your answers to the nearest dollar amount. Amounts to be deducted should be indicated with a minus sign.) Assets Total Assets Liabilities PIE CORPORATION AND SUBSIDIARY Consolidated Balance Sheet December 31, 20X9 $ 0 0 Liabilities Stockholders' Equity: Controlling Interest: Total Controlling Interest Total Stockholder's Equity Total Liabilities and Stockholders' Equity 0 0 0 PIE CORPORATION AND SUBSIDIARY Consolidated Income Statement Year Ended December 31, 20X9 Total expenses Consolidated net income Income to controlling interest $ 0 0 0 Pie Corporation acquired 75 percent of Slice Company's ownership on January 1, 20x8, for $99,000. At that date, the fair value of the noncontrolling interest was $33,000. The book value of Slice's net assets at acquisition was $100,000. The book values and fair values of Slice's assets and liabilities were equal, except for Slice's buildings and equipment, which were worth $20,000 more than book value. Accumulated depreciation on the buildings and equipment was $30,000 on the acquisition date. Buildings and equipment are depreciated on a 10-year basis. Although goodwill is not amortized, the management of Pie concluded at December 31, 20X8, that goodwill from its purchase of Slice shares had been impaired and the correct carrying amount was $2,500. Goodwill and goodwill impairment were assigned proportionately to the controlling and noncontrolling shareholders. No additional impairment occurred in 20X9. Trial balance data for Pie and Slice on December 31, 20X9, are as follows: Item Cash Accounts Receivable Inventory Land Buildings & Equipment Investment in Slice Company Cost of Goods Sold Wage Expense Depreciation Expense $ Pie Corporation Debit 72,500 86,000 98,000 60,000 352,000 109,875 138,000 35,000 25.000 Credit Slice Company Debit $ 38,000 16,000 26,000 27,000 151,000 113,000 20,000 10.000 Credit ********** Interest Expense Other Expenses Dividends Declared Accumulated Depreciation. Accounts Payable Wages Payable Notes Payable Common Stock Retained Earnings Sales Income from Slice Co. -- 12,000 23,000 33,000 $1,044,375 $ 168,000 41,000 10,000 164,750 198,000 133,875 298,000 30,758 $1,044,375 avjeve 3,000 16,000 23,000 $443,000 $ 50,000 11,000 6,000 63,000 60,000 48,000 205,000 $443,000 Required: a. Record all consolidation entries needed to prepare a three-part consolidation worksheet as of December 31, 20X9. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) 1 15 points Skopped eflook References Mc A B C Entry 1 Record the basic consolidation entry. Note: Enter debits before credits. D Accounts Debit 315 Credit CH 1 5 moints Skopped eBook References A B Entry 2 C Record the amortized excess value reclassification entry. Note: Enter debits before credits. Record entry D Accounts Clear entry Debit Credit view consolidation entries h 5 Less than wholly owned subs - Graded HW 1 5 points Skipped ellook References <A B C Note: Enter debits before credits. Entry 3 Record entry D Record the excess value (differential) reclassification entry. Accounts Saved Clear entry Debit Credit view consolidation entries Help Save & CH < A B Entry 4 C Record the optional accumulated depreciation consolidation entry. Note: Enter debits before credits. Record entry D Accounts Clear entry Debit Credit view consolidation entries b. Prepare a three-part consolidation worksheet for 20X9. (Round your answers to the nearest dollar amount. Values in the first two columns (the "parent" and "subsidiary" balances) that are to be deducted should be indicated with a minus sign, while all values in the "Consolidation Entries" columns should be entered as positive values. For accounts where multiple adjusting entries are required, combine all debit entries into one amount and enter this amount in the debit column of the worksheet. Similarly, combine all credit entries into one amount and enter this amount in the credit column of the worksheet.) Income Statement Sales Less: COGS Less: Wage expense Less: Depreciation expense Less: Interest expense Less: Other expenses PIE CORPORATION AND SUBSIDIARY Worksheet for Consolidated Financial Statements December 31, 20X9 Pie Corp. Slice Co. Consolidation Entries CR DR Consolidated wwww.. Income from Slice Company Consolidated net income NCI in net income Controlling Interest in Net Income Statement of Retained Earnings Beginning balance Net income Less: Dividends declared Ending Balance Balance Sheet Cash Accounts receivable Inventory Land Buildings and equipment Less: Accumulated depreciation Investment in Slice Company $ $ $ 0 $ 0 $ 0 $ 0 $ 0 $ 0 $ 0 0 $ 0 $ 0 $ 0 0 10 $ 0 0 0 Goodwill Total Assets Accounts payable Wages payable Notes payable Common stock Retained earnings NCI in NA of Slice Company Total Liabilities and Equity $ $ 0 $ 0 $ 0 $ 0$ 0 S 0 $ 0 $ 0 $ 0 0 c. Prepare a consolidated balance sheet, income statement, and retained earnings statement for 20X9. (Round your answers to the nearest dollar amount. Amounts to be deducted should be indicated with a minus sign.) Assets Total Assets Liabilities PIE CORPORATION AND SUBSIDIARY Consolidated Balance Sheet December 31, 20X9 $ 0 0 Liabilities Stockholders' Equity: Controlling Interest: Total Controlling Interest Total Stockholder's Equity Total Liabilities and Stockholders' Equity 0 0 0 PIE CORPORATION AND SUBSIDIARY Consolidated Income Statement Year Ended December 31, 20X9 Total expenses Consolidated net income Income to controlling interest $ 0 0 0 Pie Corporation acquired 75 percent of Slice Company's ownership on January 1, 20x8, for $99,000. At that date, the fair value of the noncontrolling interest was $33,000. The book value of Slice's net assets at acquisition was $100,000. The book values and fair values of Slice's assets and liabilities were equal, except for Slice's buildings and equipment, which were worth $20,000 more than book value. Accumulated depreciation on the buildings and equipment was $30,000 on the acquisition date. Buildings and equipment are depreciated on a 10-year basis. Although goodwill is not amortized, the management of Pie concluded at December 31, 20X8, that goodwill from its purchase of Slice shares had been impaired and the correct carrying amount was $2,500. Goodwill and goodwill impairment were assigned proportionately to the controlling and noncontrolling shareholders. No additional impairment occurred in 20X9. Trial balance data for Pie and Slice on December 31, 20X9, are as follows: Item Cash Accounts Receivable Inventory Land Buildings & Equipment Investment in Slice Company Cost of Goods Sold Wage Expense Depreciation Expense $ Pie Corporation Debit 72,500 86,000 98,000 60,000 352,000 109,875 138,000 35,000 25.000 Credit Slice Company Debit $ 38,000 16,000 26,000 27,000 151,000 113,000 20,000 10.000 Credit ********** Interest Expense Other Expenses Dividends Declared Accumulated Depreciation. Accounts Payable Wages Payable Notes Payable Common Stock Retained Earnings Sales Income from Slice Co. -- 12,000 23,000 33,000 $1,044,375 $ 168,000 41,000 10,000 164,750 198,000 133,875 298,000 30,758 $1,044,375 avjeve 3,000 16,000 23,000 $443,000 $ 50,000 11,000 6,000 63,000 60,000 48,000 205,000 $443,000 Required: a. Record all consolidation entries needed to prepare a three-part consolidation worksheet as of December 31, 20X9. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) 1 15 points Skopped eflook References Mc A B C Entry 1 Record the basic consolidation entry. Note: Enter debits before credits. D Accounts Debit 315 Credit CH 1 5 moints Skopped eBook References A B Entry 2 C Record the amortized excess value reclassification entry. Note: Enter debits before credits. Record entry D Accounts Clear entry Debit Credit view consolidation entries h 5 Less than wholly owned subs - Graded HW 1 5 points Skipped ellook References <A B C Note: Enter debits before credits. Entry 3 Record entry D Record the excess value (differential) reclassification entry. Accounts Saved Clear entry Debit Credit view consolidation entries Help Save & CH < A B Entry 4 C Record the optional accumulated depreciation consolidation entry. Note: Enter debits before credits. Record entry D Accounts Clear entry Debit Credit view consolidation entries b. Prepare a three-part consolidation worksheet for 20X9. (Round your answers to the nearest dollar amount. Values in the first two columns (the "parent" and "subsidiary" balances) that are to be deducted should be indicated with a minus sign, while all values in the "Consolidation Entries" columns should be entered as positive values. For accounts where multiple adjusting entries are required, combine all debit entries into one amount and enter this amount in the debit column of the worksheet. Similarly, combine all credit entries into one amount and enter this amount in the credit column of the worksheet.) Income Statement Sales Less: COGS Less: Wage expense Less: Depreciation expense Less: Interest expense Less: Other expenses PIE CORPORATION AND SUBSIDIARY Worksheet for Consolidated Financial Statements December 31, 20X9 Pie Corp. Slice Co. Consolidation Entries CR DR Consolidated wwww.. Income from Slice Company Consolidated net income NCI in net income Controlling Interest in Net Income Statement of Retained Earnings Beginning balance Net income Less: Dividends declared Ending Balance Balance Sheet Cash Accounts receivable Inventory Land Buildings and equipment Less: Accumulated depreciation Investment in Slice Company $ $ $ 0 $ 0 $ 0 $ 0 $ 0 $ 0 $ 0 0 $ 0 $ 0 $ 0 0 10 $ 0 0 0 Goodwill Total Assets Accounts payable Wages payable Notes payable Common stock Retained earnings NCI in NA of Slice Company Total Liabilities and Equity $ $ 0 $ 0 $ 0 $ 0$ 0 S 0 $ 0 $ 0 $ 0 0 c. Prepare a consolidated balance sheet, income statement, and retained earnings statement for 20X9. (Round your answers to the nearest dollar amount. Amounts to be deducted should be indicated with a minus sign.) Assets Total Assets Liabilities PIE CORPORATION AND SUBSIDIARY Consolidated Balance Sheet December 31, 20X9 $ 0 0 Liabilities Stockholders' Equity: Controlling Interest: Total Controlling Interest Total Stockholder's Equity Total Liabilities and Stockholders' Equity 0 0 0 PIE CORPORATION AND SUBSIDIARY Consolidated Income Statement Year Ended December 31, 20X9 Total expenses Consolidated net income Income to controlling interest $ 0 0 0 Pie Corporation acquired 75 percent of Slice Company's ownership on January 1, 20x8, for $99,000. At that date, the fair value of the noncontrolling interest was $33,000. The book value of Slice's net assets at acquisition was $100,000. The book values and fair values of Slice's assets and liabilities were equal, except for Slice's buildings and equipment, which were worth $20,000 more than book value. Accumulated depreciation on the buildings and equipment was $30,000 on the acquisition date. Buildings and equipment are depreciated on a 10-year basis. Although goodwill is not amortized, the management of Pie concluded at December 31, 20X8, that goodwill from its purchase of Slice shares had been impaired and the correct carrying amount was $2,500. Goodwill and goodwill impairment were assigned proportionately to the controlling and noncontrolling shareholders. No additional impairment occurred in 20X9. Trial balance data for Pie and Slice on December 31, 20X9, are as follows: Item Cash Accounts Receivable Inventory Land Buildings & Equipment Investment in Slice Company Cost of Goods Sold Wage Expense Depreciation Expense $ Pie Corporation Debit 72,500 86,000 98,000 60,000 352,000 109,875 138,000 35,000 25.000 Credit Slice Company Debit $ 38,000 16,000 26,000 27,000 151,000 113,000 20,000 10.000 Credit ********** Interest Expense Other Expenses Dividends Declared Accumulated Depreciation. Accounts Payable Wages Payable Notes Payable Common Stock Retained Earnings Sales Income from Slice Co. -- 12,000 23,000 33,000 $1,044,375 $ 168,000 41,000 10,000 164,750 198,000 133,875 298,000 30,758 $1,044,375 avjeve 3,000 16,000 23,000 $443,000 $ 50,000 11,000 6,000 63,000 60,000 48,000 205,000 $443,000 Required: a. Record all consolidation entries needed to prepare a three-part consolidation worksheet as of December 31, 20X9. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) 1 15 points Skopped eflook References Mc A B C Entry 1 Record the basic consolidation entry. Note: Enter debits before credits. D Accounts Debit 315 Credit CH 1 5 moints Skopped eBook References A B Entry 2 C Record the amortized excess value reclassification entry. Note: Enter debits before credits. Record entry D Accounts Clear entry Debit Credit view consolidation entries h 5 Less than wholly owned subs - Graded HW 1 5 points Skipped ellook References <A B C Note: Enter debits before credits. Entry 3 Record entry D Record the excess value (differential) reclassification entry. Accounts Saved Clear entry Debit Credit view consolidation entries Help Save & CH < A B Entry 4 C Record the optional accumulated depreciation consolidation entry. Note: Enter debits before credits. Record entry D Accounts Clear entry Debit Credit view consolidation entries b. Prepare a three-part consolidation worksheet for 20X9. (Round your answers to the nearest dollar amount. Values in the first two columns (the "parent" and "subsidiary" balances) that are to be deducted should be indicated with a minus sign, while all values in the "Consolidation Entries" columns should be entered as positive values. For accounts where multiple adjusting entries are required, combine all debit entries into one amount and enter this amount in the debit column of the worksheet. Similarly, combine all credit entries into one amount and enter this amount in the credit column of the worksheet.) Income Statement Sales Less: COGS Less: Wage expense Less: Depreciation expense Less: Interest expense Less: Other expenses PIE CORPORATION AND SUBSIDIARY Worksheet for Consolidated Financial Statements December 31, 20X9 Pie Corp. Slice Co. Consolidation Entries CR DR Consolidated wwww.. Income from Slice Company Consolidated net income NCI in net income Controlling Interest in Net Income Statement of Retained Earnings Beginning balance Net income Less: Dividends declared Ending Balance Balance Sheet Cash Accounts receivable Inventory Land Buildings and equipment Less: Accumulated depreciation Investment in Slice Company $ $ $ 0 $ 0 $ 0 $ 0 $ 0 $ 0 $ 0 0 $ 0 $ 0 $ 0 0 10 $ 0 0 0 Goodwill Total Assets Accounts payable Wages payable Notes payable Common stock Retained earnings NCI in NA of Slice Company Total Liabilities and Equity $ $ 0 $ 0 $ 0 $ 0$ 0 S 0 $ 0 $ 0 $ 0 0 c. Prepare a consolidated balance sheet, income statement, and retained earnings statement for 20X9. (Round your answers to the nearest dollar amount. Amounts to be deducted should be indicated with a minus sign.) Assets Total Assets Liabilities PIE CORPORATION AND SUBSIDIARY Consolidated Balance Sheet December 31, 20X9 $ 0 0 Liabilities Stockholders' Equity: Controlling Interest: Total Controlling Interest Total Stockholder's Equity Total Liabilities and Stockholders' Equity 0 0 0 PIE CORPORATION AND SUBSIDIARY Consolidated Income Statement Year Ended December 31, 20X9 Total expenses Consolidated net income Income to controlling interest $ 0 0 0
Expert Answer:
Related Book For
Advanced Financial Accounting
ISBN: 978-0078025624
10th edition
Authors: Theodore E. Christensen, David M. Cottrell, Richard E. Baker
Posted Date:
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Sun Corporation was created on January 1, 20X2, and quickly became successful. On January 1, 20X6, its owner sold 80 percent of the stock to Weatherbee Company at underlying book value. At the date...
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Champion Play Company is a partnership that sells sporting goods. The partnership agreement provides for 10 percent interest on invested capital, salaries of $24,000 to Luc and $28,000 to Dennis, and...
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With regard to genotypes, what is a true-breeding organism?
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An individual has the genotype Aa Bb Cc and makes an abnormal gamete with the genotype AaBc. Does this gamete violate the law of independent assortment or the law of segregation (or both)? Explain...
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A true-breeding tall pea plant was crossed to a true-breeding dwarf plant. What is the probability that an F1 individual will be truebreeding? What is the probability that an F1 individual will be a...
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