Pit Coporation owns 75% of Stop Company's outstanding common stock.  On 08/28/21, Pit sold inventory to Stop in exchange for $540,000 cash.  Pit had purchased the inventory on 05/02/21 at a cost of $324,000. On 12/21/21, Stop sold 80% of the inventory to 3rd parties at a cash price of $720,000.  The other 20% of the inventory remains on hand at 12/31/21. The Consolidation Entry at Year End would include:

Q: Baxter, Inc., owns 90 percent of Wisconsin, Inc., and 20 percent of Cleveland Company. Wisconsin, in…

A: The answer is stated below:

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A:

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A: Pepper corporation owns Salt company voting shares = 75% During 20X8, Pepper produced chairs = 50000…

Q: Pit Coporation owns 75% of Stop Company's outstanding common stock.  On 01/01/21, Pit sold sold a…

A: Consolidated means the combination of two firms. When two firms join together into one. For example…

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A: Answer-80000 Answer-570000

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A: Step 1:a) Prepare the journal entries recorded on Poom's books during 20X5 to reflect its ownership…

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A: Answer to (1) : Journal entries Planet recorded for the purchase of inventory and resale to Saturn…

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A: Cost of goods sold: It is the cost of goods which incurred for the sales of goods to the buyer at…

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A: Consolidated revenue is the amount of sale of goods to the customers.

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A: Cost of Goods Sold - It the value of costs which are incurred in the transacting sales of goods or…

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A:

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Q: Compute for the consolidated net income.

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A: Cost of goods sold exhibits direct cost incurred by company for producing goods and services.

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Q: Pit Coporation owns 75% of Stop Company's outstanding common stock.  On 08/28/21, Pit sold inventory…

A: Pit's journal entries:- 1). To acquire the inventory  Inventory  A/c   debit     $324,000      To…

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A: (A). P60,000 is the correct option.

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Q: Pit Coporation owns 75% of Stop Company's outstanding common stock.  On 01/01/21, Pit sold sold a…

A: Date Company  Particulars  Debit  Credit            Jan-01 Pit  Bank 2,36,000…

Consolidation

Consolidation in general examination implies an asset oscillating between well-defined methods of trading status. Consolidation is commonly known as market indecisiveness, which completes when the asset's values move forward or backward the trading structure.