Rand Corp. acquired 100% of Spaulding Inc. on December 31, 2012. Spaulding was dissolved right afterwards....
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
Rand Corp. acquired 100% of Spaulding Inc. on December 31, 2012. Spaulding was dissolved right afterwards. Please prepare the journal entry for consolidation under two situations. Revenues Expenses Equity in subsidiary earnings Net income Retained earnings, January 1, 2012 Net income (above) Dividends paid Retained earnings, December 31, 2012 Current assets Investment in Spaulding Inc. Buildings (net) Equipment (net) Total assets Liabilities Common stock Additional paid-in capital Retained earnings, December 31, 2012 (above) Total liabilities and stockholders' equity Rand Corp. $ 372.000 (264.000) 25.000 $ 133.000 $ 765.000 133.000 (84,000) $ 814.000 $ 150,000 242,000 525,000 389.250 $1.306.250 $ 82,250 360,000 50,000 814.000 $1.306.250 Spaulding Inc. $108.000 (72,000) $ 36.000 $102.000 36,000 (24,000) $114.000 $ 22,000 0 85,000 129.000 $236.000 $ 50,000 72.000 0 114.000 $236.000 Rand Corp. acquired 100% of Spaulding Inc. on December 31, 2012. Spaulding was dissolved right afterwards. Please prepare the journal entry for consolidation under two situations. Revenues Expenses Equity in subsidiary earnings Net income Retained earnings, January 1, 2012 Net income (above) Dividends paid Retained earnings, December 31, 2012 Current assets Investment in Spaulding Inc. Buildings (net) Equipment (net) Total assets Liabilities Common stock Additional paid-in capital Retained earnings, December 31, 2012 (above) Total liabilities and stockholders' equity Rand Corp. $ 372.000 (264.000) 25.000 $ 133.000 $ 765.000 133.000 (84,000) $ 814.000 $ 150,000 242,000 525,000 389.250 $1.306.250 $ 82,250 360,000 50,000 814.000 $1.306.250 Spaulding Inc. $108.000 (72,000) $ 36.000 $102.000 36,000 (24,000) $114.000 $ 22,000 0 85,000 129.000 $236.000 $ 50,000 72.000 0 114.000 $236.000
Expert Answer:
Posted Date:
Students also viewed these accounting questions
-
Parr Paper's stock has a beta of 1 . 1 5 , and its required return is 6 % . Clover Dairy's stock has a beta of 1 . 6 9 . If the risk - free rate is 4 . 3 % , what is the required rate of return on...
-
X is a mixture of an exponential distribution with mean 50 and weight 40%, and a single-parameter Pareto distribution with a = 3 and 0. It is known that VaRo.95 (X) = 141.5751. Calculate TVaR0.95...
-
A sample of size n is randomly selected from a non-normal population with mean and standard deviation o. a. Describe the mean and standard deviation of the sampling distribution of X for all samples...
-
Explain how an understanding of the adoption process would help you develop a promotion blend for digital tape recorders, a new consumer electronics product that produces high-quality recordings....
-
What is a joint venture? How are corporate joint ventures accounted for on the books of the investor companies?
-
IFRS 3 has introduced a new concept into accounting for purchased goodwill annual impairment testing, rather than amortisation. Consider the effect of a change from amortisation of goodwill (in IAS...
-
Tifton & Co. had the following cash transactions during the current year: Proceeds from issuance of common stock ........ $400,000 Payment of dividends .................. 100,000 Payment for purchase...
-
Turkey Corp establied the following monthly standards per unit of its 10,000 unit budgeted production. Input Price Input Qty per Unit of Output Total Budget Cost Per Unit Cost at 10,000u at 10,000u...
-
An airplane is moving with a constant velocity (220, 0.-130) m/s. At a time 2340 sec after noon its location was (4100, 20000, 3500) m. Where was it at time 1980 sec after noon? position= < i ! i i !...
-
_____ is the correction of a deficiency or failure in a process or procedure.
-
In 2003, Alan Greenspan, chairman of the Federal Reserve, convinced the Open Market Committee to reduce the interest rate to near zero percent in an attempt to stimulate spending in the economy and...
-
Briefly explain the nature of lexical validation of instruction input. How does the lexical analyzer handle: a. Identifiers b. Terminals c. Literals
-
_____ is the process of teaching employees the skills necessary to perform a job.
-
What is the functional aggregation paradigm and why is it important?
-
a bond issue with a face amount of $500,000 bears interest at the rate of 8%... A bond issue with a face amount of $500,000 bears interest at the rate of 8%. The current market rate of interest is...
-
Smthe Co. makes furniture. The following data are taken from its production plans for the year. Required: 1. Determine the hazardous waste disposal cost per unit for chairs and for tables if costs...
-
The income statement of Barbra Streisand Company is shown below. Additional information: 1. Accounts receivable decreased \($280,000\) during the year. 2. Prepaid expenses increased \($150,000\)...
-
George Clooney Company's income statement for the year ended December 31 2002, contained the following condensed information. Clooney s balance sheet contained the following comparative data at...
-
The financial statements of Frank B. Robinson Company appear below. Additional information: 1. Dividends declared and paid were \($3,000\). 2. During the year equipment was sold for \($8,500\) cash....
Study smarter with the SolutionInn App