Question: When performing a consolidation, if the balance sheet does not balance A.. the debit and credit totals of the adjusting/eliminating columns of the consolidation working

When performing a consolidation, if the balance sheet does not balance

A..the debit and credit totals of the adjusting/eliminating columns of the consolidation working paper should be checked to confirm that they balance, and if so, then there is no need to check the individual line items.

..b..

it is frequently because of the noncontrolling interest, as these amounts do not appear on the separate companies' general ledgers.

c..the amount that it is "off" will always equal the noncontrolling interest in the current year net income of the subsidiary.

d..that indicates that the Investment in Subsidiary account on the parent's books should not be adjusted to -0-, because there is excess value represented in the investment.

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!

When performing a consolidation, if the balance sheet does not balance, Select one: a. it is frequently because of the noncontrolling interest, as these amounts do not appear on the separate...

43) When performing a consolidation, if the balance sheet does not balance, A) that indicates that the Investment in Subsidiary account on the parent's books should not be adjusted to -0-, because...

IMIS IS the other part of your DOR - nomework ... Prop 4-ID. This problem is NOT in your textbook. Required: use the "working papers" below and submit by the due date. Homework Working Papers...

item Aspect Event Data 1 Acquisiton of Subsidiary by Parent Acquisiton date of Subsidiary by the Parent 1/07/2X18 2 % ownership of Parent in Subsidiary 76 3 Subsidiary Share Capital at acquisition...

complete the worksheet to calculate the net income. Make sure that you have checked the column totals to catch any errors you might have made. Prepare an Income Statement. Use the worksheet to obtain...

Trial balance adjustments adjusted trial balance income statement balance sheet Cash enter a debit balance enter a credit balance enter a debit amount enter a credit amount enter an adjusted debit...

i dont need any explainations just the answer With a special journal, summary postings of column totals are made to appropriate accounts Oa, anytime the accountant wants to Ob. monthly Oc. daily Od....

On 12/31, Choco acquired Cake by issuing 40,000 shares of its common stock when the market value (=fair value) is $32/share. Cake will remain incorporated. Choco has common stock with $15 par, 50,000...

I a m seeking t o balance the debit and credit totals. The cells highlighted i n yellow allow entries. A m I missing any entries? Giant acquired all o f Small's common stock o n January 1 , 2 0 2 0 ,...

Why is the linear system that models the arrangement in Problem 52 homogeneous? Change the problem statement as simply as possible to keep the same matrix of coefficients A in the system for the new...

(i) If 1 and 1 are two measures on ((, A), then show that = 1 + 2 is also a measure, where (A) = 1 (A) + 2 (A), A ( A. (ii) if at least one of the measures 1 and 2 is complete, then so is

13. LO.5 Linker is a corporate entity organized in France. It is owned equally by 100 U.S. shareholders. The shareholders are not related to each other; they purchased the shares from a broker. Is...

USAA is a financial services company formed in 1922 by 25 Army officers who came together to insure each others automobiles because they were deemed too high-risk to insure. USAA now has almost...

3. Give away need to know information and you will get back information that you find useful.

4. Present multiple themes at once. Then you will get to know a little about how others think, when some of the themes are rejected.

5. Get a third party to mediate, so that both parties have the opportunity to go back to their original negotiating point that they had before the third party put forward his/her proposal.