A parent company is a producer of production equipment, some of which is acquired and used by
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Is there any difference in the consolidated company’s ability to recognize the profit on these sales if, instead of selling equipment to the subsidiaries, the equipment is leased to them under capital leases? Are there any other profit opportunities for the controlling interest in leasing as opposed to selling equipment to the subsidiaries?
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Advanced Accounting
ISBN: 978-0538480284
11th edition
Authors: Paul M. Fischer, William J. Tayler, Rita H. Cheng
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