The implied value exceeded the book value at the acquisition date by: *

$125,000

$225,000

$55,000

It is impossible to know

The eliminating entries required to prepare the consolidated financial statements on December 31, 2020 would include: *

A debit to goodwill by $125,000

A credit to Dividends Declared by $960,000

A credit to Equity in S income by $3,200,000

None of the above

S Companys net income for year 2020 from independent operations was: *

$4,000,000

$8,800,000

$16,000,000

None of the above

The share of the non-controlling interest from the net income of S company during 2020 since acquisition was: *

$3,200,000

$400,000

$800,000

None of the above

The consolidated total revenues for 2020 was: *

$11,950,000

$51,000,000

$54,200,000

None of the above

The consolidated Dividends Declared for 2020 was: *

$3,825,000

$2,625,000

$3,585,000

None of the above

In the consolidated balance sheet on December 31, 2020, *

Total Assets were equal to $18,110,000

Investment in S Company was equal to $3,640,000

Total equity was equal to $13,875,000

None of the above

Use the following to answer the seven questions below Credit On January 1, 2020, P Company purchased 80% of the outstanding common stock of Company for $1,400,000. At that time, s Company's stockholders' equity consisted of common stock. $375,000: other contributed capital, $750,000; and retained earnings, $500,000. The difference between the implied value and the book value would be allocated to land. The company uses the equity method. The following Trial Balances were extracted from each company's records at December 31, 2020: P Company s Company Debit Debit Credit Cash 8.835,000 1,900,000 Receivables 700,000 250,000 Investment in s 3,640.000 Land 2,100,000 750,000 Building 1,050,000 2,400,000 Accounts payable 350,000 125.000 Other Liabilities 2,100,000 750.000 Common Stock ($5 par value) 1,050,000 375,000 OCC 2,100,000 750,000 Retained Earnings 1/1/2020 1,400.000 500.000 Dividends Declared 2.625.000 1.200,000 Sales 35,000,000 16,000,000 Equity in Subsidiary Income 3,200,000 Cost of Goods Sold 15,750,000 7.200,000 Operating Expenses 10,500,000 4.800,000 Total 45,200,000 45,200,000 18,500,000 18,500,000