Aurum Services, Inc. acquired 100,000 shares of Gamma Metals, Inc. on January 1, 2017. Gamma pays a cash dividend of $0.25 per share on March 2, 2017. With the current investment, Aurum Services, Inc. holds 8% of Gamma. In the journal entry on March 2, 2017, _______. A Long-term Investments—Available-for-Sale is credited B Long-term Investments—Held-to-Maturity is debited C Long-term Investments—Available-for-Sale is debited D Dividend Revenue is credited

Q: During the year 2018 Nestle sold 3,000 shares of LJ, Inc. for P119,700 and 500 shares of Dwarfy…

A: Carrying amount of 3000 shares of LJ Inc = P 180,000 Sale Consideration of 3000 shares of LJ Inc = P…

Q: ABC Company owns 100% of XYZ Company's outstanding shares, which were 30,000 shares. On December 31,…

A: Consolidation means the acquisition or merger of two companies where one company acquire the share…

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A: Equity income to be recognized in each year are as follows: Equity income as on 2016…

Q: On July 1, 2016, Killearn Company acquired 88,000 of the outstanding shares of Shaun Company for $13…

A: a.

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A: 1. Journal entries:

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A: We are authorized to do first three sub parts only , please re-post the further sub parts 1)…

Q: On January 1, 2017, Holland Corporation paid $8 per share to a group of Zeeland Corporation…

A: a)  Computation of goodwill and its allocation: Details Amount Consideration transferred…

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A: Investment Income For Recognize of investment income which has to be the fair value at the end of…

Q: Haynes, Inc., obtained 100 percent of Turner Company’s common stock on January 1, 2017, by issuing…

A: Note: Since we only answer up to 3 sub-parts, we’ll answer the first 3. Please resubmit the question…

Q: On January 1, 2017, Stream Company acquired 30 percent of the outstanding voting shares of Q-Video,…

A: Given information is: On January 1, 2017, Stream Company acquired 30 percent of the outstanding…

Q: ARIE Company acquired 30% of BARD Company’s voting share capital for P2,000,000 on January 1, 2017.…

A: As per the equity method, the investment in associates is recognized at cost and that value of the…

Q: Turner Company purchased 40% of the outstanding stock of ICA Company for $10,000,000 on January 2,…

A:

Q: On July 1, 2015, Cleopatra Corporation acquired 25% of the shares of Marcus, Inc. for P1,000,000.…

A: The investment in shares gets increased by profits and decreased by dividend received.

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A: The following computations are done for Herbert Company.

Q: Haynes, Inc., obtained 100 percent of Turner Company’s common stock on January 1, 2017, by issuing…

A: As you have posted multiple independent questions, we are answering the first two questions. Kindly…

Q: Haynes, Inc., obtained 100 percent of Turner Company’s common stock on January 1, 2017, by issuing…

A: 1.

Q: On July 1, 2015, Cleopatra Corporation acquired 25% of the shares of Marcus, Inc. for P1,000,000. At…

A: Given :- Cost of acquisition = P1,000,000. Percentage of share acquired = 25%. Net income for 2018 =…

Q: On July 1, 2015, Cleopatra Corporation acquired 25% of the shares of Marcus, Inc. for P1,000,000.…

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Q: On January 1, 2017, Stream Company acquired 30 percent of the outstanding voting shares of Q-Video,…

A: Equity method: Equity method is the method used for accounting equity investments which claim a…

Q: Turner Company purchased 40% of the outstanding stock of ICA Company for $10,000,000 on January 2,…

A: Record the purchase of investment.

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A: Retained earning is the amount kept by the company for the future growth purpose.

Q: Chapman Company obtains 100 percent of Abernethy Company’s stock on January 1, 2017. As of that…

A: Consolidation- Consolidation is a legal process in which various business entities join together to…

Q: On January 2, 2013, Slurg Corporation paid $600,000 to acquire 60% interest in Padwaddy Inc. At that…

A:

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A:

Q: On January 1, 2013, K Company purchased a 30 % interest in P Company for $250,000. P reported net…

A: The investor gets the share in investees profits as per the proportionate share.

Q: RIE Company acquired 30% of BARD Company’s voting share capital for P2,000,000 on January 1, 2017.…

A: The question is based on the concept of Financial Accounting.

Q: On January 1, 2017, Holland Corporation paid $8 per share to a group of Zeeland Corporation…

A: a.

Q: On January 1, 2017, Bright Company acquired 80% of Animo Company's common stock for 280,000 cash. At…

A: Net income:- Net income is also considered as the net earnings of the business that represents money…

Q: On July 1, 2016, Miller Company purchased 25% of Wall Company’s outstanding ordinary shares and no…

A: Answer-      Particulars Amount     Investment balance as at December 31, 2016 1900000…

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Q: On January 1, 2016, Ritter Company bought 10% of the outstanding ordinary shares of Bear…

A:

Q: On April 1, 2018, Gangnam Company purchased 25,000 ordinary shares of Psy Inc. at an amount that…

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Q: On January 1, 2017, Lund Corporation purchases a 30% interest in Aluma-Boat Company for $200,000. At…

A: Investment is the action of the personnel or the group of people investing the money in such an…

Q: Chapman Company obtains 100 percent of Abernethy Company’s stock on January 1, 2017. As of that…

A: Consolidation- Consolidation refers to the merging of two or more enterprises, organizations, or…

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A: D) If initial value methods applies Computation of overstated / understated retained earning…

Q: On July 1, 2016, Killearn Company acquired 88,000 of the outstanding shares of Shaun Company for $13…

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Q: On January 1, 2017, Holland Corporation paid $8 per share to a group of Zeeland Corporation…

A: Consolidated Financial Statements - It is statements of company which have multiple subsidiaries or…

Q: July 1, 2015, Issue Company purchased 80% of the outstanding shares of Intrigue Company at a cost of…

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Q: On July 1, 2017, Entity H acquired 25% of the shares of Oki, Inc. for P1,000,000. At the date, the…

A: Entity H acquired 25% share, therefore its share in profit  = 25% x 160000 = 40000

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A: a.

Q: On December 31, 2016, Akron, Inc. purchased 5 Percent of Zip Company’s common shares on the open…

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A:

Q: Haynes, Inc., obtained 100 percent of Turner Company’s common stock on January 1, 2017, by issuing…

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Q: Haynes, Inc., obtained 100 percent of Turner Company’s common stock on January 1, 2017, by issuing…

A:

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A: Jen Company has made some transactions pertaining to long term investment in shares of Jisoo…

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.