Pen Corporation owned equipment with an original cost of $91,000. On January 1, 2019, Pen sold the
Fantastic news! We've Found the answer you've been seeking!
Question:
- Pen Corporation owned equipment with an original cost of $91,000. On January 1, 2019, Pen sold the equipment to Sen Company (a 60%-owned subsidiary) for a price of $82,600. At the time of the intercompany sale, the equipment had been depreciated for $18,200. The equipment has a remaining useful life of 7 years and is straight-line depreciated. On January 1, 2021, Sen sold the equipment to an outside company for $63,200.
(i) Prepare the working paper eliminating entry regarding the equipment for the year ended December 31, 2019.
(ii) Prepare the working paper eliminating entry I-1 regarding the equipment for the year ended December 31, 2020.
(iii) Prepare the working paper eliminating entry regarding the equipment for the year ended December 31, 2021.
Expert Answer:
Answer i Working paper eliminating entry regarding the equipment for the year ended December 31 2019 ... View the full answer
Related Book For 
Posted Date:
