P Company owns 80% of the outstanding stock of S Company. During 2014, S Company reported net
Fantastic news! We've Found the answer you've been seeking!
Question:
P Company owns 80% of the outstanding stock of S Company. During 2014, S Company reported net income of $525,000 and declared no dividends. At the end of the year, S Company’s inventory included $487,500 in unrealized profit on purchases from P Company. Intercompany sales for 2014 totaled $2,700,000.
Required:
Prepare in general journal form all consolidated financial statement work paper entries necessary at the end of the year to eliminate the effects of the 2014 intercompany sales.
Related Book For
Posted Date: