Question: Now the FOURTH time I've submitted this question. to the person whos answered my previous two questions, your format is not in the same format

Now the FOURTH time I've submitted this question. to the person whos answered my previous two questions, your format is not in the same format posted as the question, thus nothing is right and i have no idea where to put the solutions.  Now the FOURTH time I've submitted this question. to the person
whos answered my previous two questions, your format is not in the

Sun Corporation was created on January 1, 20X2, and quickly became successful. On January 1, 20X6, its owner sold 80 percent of the stock to Planet Company at underlying book value. At the date of that sale, the fair value of the remaining shares was equal to 20 percent of the book value of Sun. Planet continued to operate the subsidiary as a separate legal entity and used the equity method in accounting for its investment in Sun. The following consolidated financial statements have been prepared: During 20x6, Sun reported net income of $60,000 and paid dividends of $20,000, Planet reported net income of $148,000 and paid dividends of $65,000. There were no intercompany transfers during the period Interest During 206,5 un reported met inceme of 560,000 and paid dondeinds of 520000 , Planet reported net incame of $148,000 and paid dividends of $65,000. These were no intercompscy tandters during the period Aequired: Propare a wocksheet fot a consolidated statement of casth flows for 206 using the indirect methed of computing cash Bows trom ogerations. Note: Values in the firat two columns (the "parent" and "subildary" balances) that are to be deducted shauld be indicated with o minus slign, while all values in the "Consoldotion Fineries" columens sheuld be entered as peritive values. For accounts where fnultiple adjusting entries are requiled, combine all debit entries inte one ameunt and enter this amount in the debit column of the wrorkheet. Similarly, combine al credit entries into one amourt and enter this amount in the credit column of the worksheet

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Accounting Questions!