i need help for homework  PAR sold inventory with a cost of $70,000 to its 90%-owned subsidiary, SUB, for $100,000 in 2016. SUB resold $80,000 of this inventory for $120,000 in 2016. Based on this information, the amount of inventory reported on the consolidated financial statements at the end of 2016 is: a. $40,000. b. $6,000. c. $20,000. d. $14,000.

The inventory footnate from Deere & Company's 2018 10-K follows. Inventories A majority of Inventory owned by Deere & Company and its U.S. equipment subsidiaries are valued at cost, on the "last-in, first-out" (LIFO) basis. Remaining Inventories are generally valued at the lower of cost, on the "first-in, first-out" (FIFO) basis, or net realizable value. The value of gross inventories on the LIFO basis at October 28, 2018, and October 29, 2017, represented 54 percent and 61 percent, respectively, of worldwide gross inventories at FIFO value. If all Inventories had been valued on a FIFO basis, estimated Inventories by major classification at October 28, 2018, and October 29, 2017, in millions of dollars would have been as follows: 2018 2017 $2,233 $1,688 776 4,777 3,182 7,786 5,365 1,637 1,461 $ millions Raw materials and supplies Work-in-process Finished goods and parts Totalvelue Less adjustment to LIFO value 1,637 Inventories 495 $6,149 $3,904 This footnote reveals that not all of…

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Required information P7-6 (Algo) Analyzing and Interpreting the Effects of Inventory Errors LO7-5 [The following information applies to the questions displayed below.] The income statement for Pruitt Company summarized for a four-year period shows the following: Sales revenue Cost of goods sold Gross profit Expenses Pretax income Income tax expense (30%) Net income P7-6 Part 1 2016 2017 $2,041,000 $2,469,000 1,618,000 1,492,000 549,000 484,000 65,000 19,500 $45,500 Sales revenue Cost of goods sold Gross profit Expenses Pretax income Income tax expense (30%) Net income 851,000 496,000 355,000 106,500 $248,500 496,000 334,000 2018 $2,712,000 1,781,000 100,200 233,800 931,000 522,000 409,000 122,700 $286,300 An audit revealed that in determining these amounts, the ending inventory for 2017 was overstated by $21,000. The company uses a periodic inventory system. Answer is complete but not entirely correct. PRUITT COMPANY Income Statement For the Four-Year Period 2016 2017 $ 2,041,000…