1. In May 2019, a parent sold inventories to a subsidiary entity for $60 000. The inventories had previously cost the parent entity $48 000. The entire inventory is still held by the subsidiary at reporting date, 30 June 2019. 
2. 
   
3. Ignoring tax effects, record the adjustment entry  at reporting date.

Answer rating: 100% (QA)

When a parent entity sells inventory to a subsidiary any unrealized profit within the group should b... View the full answer