A parent sold land costing $400,000 to its subsidiary for $450,000 in 2017. The subsidiary still holds the land at the end of 2019. On a working paper prepared to consolidate the financial statements of the parent and subsidiary in 2019, the eliminating entry connected with this land includes a $50,000 credit to:

a.         Investment in subsidiary

b.         Beginning retained earnings of the subsidiary

c.          Gain on sale of land

d.         Land

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Ans d Land Explanation While consolidating th... View the full answer