Consolidation Non-controlling Interest (NCI) Partial Goodwill Method **Prepare Consolidation Worksheet Entries as of June 30, 2019.
Question:
Consolidation – Non-controlling Interest (NCI)
Partial Goodwill Method
**Prepare Consolidation Worksheet Entries as of June 30, 2019. Assume a profit for Carl Ltd for the year ended June 30, 2019 of $61,400
Laura Ltd purchased 97% of the issued shares of Chris Ltd for $1,759,000 on 1 July 2018 when Chris Ltd's equity was as follows;
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As of this date, Chris Ltd had not recorded any goodwill and all identifiable assets and liabilities were recorded at fair value, except for the following;
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60% of the inventory on hand as of July 1, 2018 was sold on June 20, 2019. The additional useful life of the assets is listed in the table above. The partial goodwill method is used and the tax rate is 30%
Intermediate Accounting Reporting and Analysis
ISBN: 978-1337788281
3rd edition
Authors: James M. Wahlen, Jefferson P. Jones, Donald Pagach