P acquired an 80% intrerest in  S on 12/31/2010 for $8,600. GW is entirely due to a control premium. P &  S use FIFO for inventory and Straight-line deprecaiattion with $0  residual value for equipment. Intangible assets are accounted for in accordance with GAAP.  Included below are:

Differences between FMV and BV at 12/31/2010, information about intercompany sales of inventory and long-lived assets and GW impairment.  

 

Required:

1. Prepare a schedule showing adjustments to S's assets  @ 12/31/2010 as well as how GW and NCI were  calculated (Done-but you need to be able to do this). 

2. Complete the 2010-12consolidations. You must use formulas  for all subtotals and totals whether in the debit and credit column or the consolidated column. . You are not required to  use formulas for any other work.  Just input debit and credits. Show calculations for GW impairment, and the sale of the equipment and copy right

3. Assuming that SNI = $5,000 in 2013, and dividends = $2,000, prepare schedules for Equity Income, I, NCI INC, NCI.

 

You may show your work using  pencil  and paper or on the spreadsheet. If you choose to use the spreadsheet, the work must be placed in a logical manner (eg. Equipment gain or loss is calculated near the  equipment information, 2013 caiculations follow 2012 consolidated statements.

Answer rating: 100% (QA)

Quiz 1 Ss assets would be adjusted as follows Inventory 1000 Equipment 2000 Intangible assets 5000 G... View the full answer