Protrade Corporation acquired 8 0 percent of the outstanding voting stock of Seacraft Company on January 1
Fantastic news! We've Found the answer you've been seeking!
Question:
Protrade Corporation acquired percent of the outstanding voting stock of Seacraft Company on January for $ in cash and other consideration. At the acquisition date, Protrade assessed Seacraft's identifiable assets and liabilities at a collective net fair value of $ and the fair value of the percent noncontrolling interest was $ No excess fair value over book value amortization accompanied the acquisition.
The following selected account balances are from the individual financial records of these two companies as of December :
Protrade Seacraft
Sales $ $
Cost of goods sold
Operating expenses
Retained earnings,
Inventory
Buildings net
Investment income Not given
Each of the following problems is an independent situation:
Assume that Protrade sells Seacraft inventory at a markup equal to percent of cost Intraentity transfers were $ in and $ in Of this inventory, Seacraft retained and then sold $ of the transfers in and held $ of the transfers until
Determine balances for the following items that would appear on consolidated financial statements for :
Cost of Goods Sold
Inventory
Net Income Attributable to Noncontrolling Interest
Assume that Seacraft sells inventory to Protrade at a markup equal to percent of cost Intraentity transfers were $ in and $ in Of this inventory, $ of the transfers were retained and then sold by Protrade in whereas $ of the transfers were held until
Determine balances for the following items that would appear on consolidated financial statements for :
Cost of Goods Sold
Inventory
Net Income Attributable to Noncontrolling Interest
Protrade sells Seacraft a building on January for $ although its book value was only $ on this date. The building had a fiveyear remaining life and was to be depreciated using the straightline method with no salvage value.
Determine balances for the following items that would appear on consolidated financial statements for :
Buildings net
Operating Expenses
Net Income Attributable to Noncontrolling Interest
Related Book For
Fundamentals of Advanced Accounting
ISBN: 978-0077862237
6th edition
Authors: Joe Ben Hoyle, Thomas Schaefer, Timothy Doupnik
Posted Date: