B C D E F G H t was expected to have a 12 year useful life. 6 Required: Prepare elimination entries and complete the following worksheets PLEASE NOTE THAT THE FIRMS ARE USING A SEPARATE ACCUMULATED DEPRECIATION ACCOUNT! ! 8 That will affect how the realization of the gain is recorded, and how the unrealized portion is carried forward to the following years! ! 9 Please note also that the number 13,200 shows up a few times; that's just a coincidence. 10 11 17 13 2021 Debit Credit Consolidated 14 Sales 100,000 80,000 15 Dep. Exp 15,000 10,000 16 Other Expenses 60,000 50,000 17 Gain/loss on sale of asset 3,000 3,000 18 Investment income 12,300 19 Net income 37,300 23,000 20 Income to NC Interest 21 Income to contolling interest 22 23 Beg R/E 200,000 100,000 24 Add: Income 37,300 23,000 25 Less: Dividends 30,000 20,000 26 Ending R/E 207,300 103,000 27 28 Current assets 50,000 25,000 29 Investment in Little 78,300 30 PPE 200,000 150,000 31 Acc Dep 45,000 40,000 32 33 Liabilities 56,000 2,000 34 CS 20,000 30,000 35 RE 207,300 103,000 86 NC InterestM N O P 10 11 12 13 2022 Debit Credit Consolidated 14 Sales 110,000 85,000 15 Dep. Exp 15,000 10,000 16 Other Expenses 65,000 55,000 17 Gain/loss on sale of asset 18 Investment income 12,300 19 Net income 42,300 20,000 20 Income to NC Interest 21 Income to contolling interest 22 23 Beg R/E 207,300 103,000 24 Add: Income 42,300 20,000 25 Less: Dividends 20,000 10,000 26 Ending R/E 229,600 113,000 27 28 Current assets 50,000 55,000 29 Investment in Little 84,600 30 PPE 200,000 150,000 31 Acc Dep 60,000 50,000 32 33 Liabilities 25,000 12,000 34 CS 20,000 30,000 35 RE 229,600 113,000 36 NC InterestR S T U V W X Y Z 10 Questions: 11 What was the book value of the asset on the date of sale, 1/1/21? 12 What was the accumulated depreciation on the asset on the date of sale? 13 How much was the gain or loss on the intercompany sale? 14 Upstream Was the sale upstream or downstream? 15 500 How much of the gain is realized/recognized each year? 16 3,000 Value in cell E17 17 Value in cell E30 18 Value in cell E31 19 Value in cell F31 20 Value in cell G15 21 0 Value in cell G17 22 Value in cell G20 23 Value in cell 030 24 Value in cell 031 25 Value in cell P31 26 0 Value in cell Q17 27 Value in cell Q20