S Company is a 90% owned subsidiary of P Company. On January 1, 2013, S Company purchased for $680,000 bonds of P Company that had a carrying value of $724,000 (par value $700,000). The bonds mature on December 31, 2014. Both companies use the straight-line method of amortization and have a December 31 year-end. The increase in 2013 consolidated income (i.e., income before subtracting noncontrolling interest) is?

Answer rating: 100% (QA)

Solution The correct answer is 440... View the full answer