Thumbs up for quick answers: Planet Corporation acquired $90$ percent of Saturn Company$$s voting shares of stock in $20$X$1.$ During $20$X$4,$ Planet purchased $43,000$ Playday doghouses for $$32$ each and sold $28,000$ of them to Saturn for $$40$ each. Saturn sold $21,000$ of the doghouses to retail establishments prior to December $31,20$X$4,$ for $$55$ each. Both companies use perpetual inventory systems.

Required:

Prepare all journal entries Planet recorded for the purchase of inventory and resale to Saturn Company in $20$X$4.$

Note: If no entry is required for a transaction$/$event$,$ select $"$No journal entry required" in the first account field.

Prepare the journal entries Saturn recorded for the purchase of inventory and resale to retail establishments in $20$X$4.$

Note: If no entry is required for a transaction$/$event$,$ select $"$No journal entry required" in the first account field.

Prepare the worksheet consolidation entry$($ies$)$ needed in preparing consolidated financial statements for $20$X$4$ to remove the effects of the intercompany sale.

Note: If no entry is required for a transaction$/$event$,$ select $"$No journal entry required" in the first account field.

Answer rating: 100% (QA)

Journal Entries for Planet Corporation 1 To record the purchase of 43000 Playday doghouses at 32 eac... View the full answer