The balance of Prime’s Investment in Sands account at December 31, 20x5 is:   P105,000 P138,600 P159,000 P165,000

Q: On January 1, 20x1, Pinup Corp. acquired 34,560 outstanding ordinary shares of Slug Corp. for a cash…

A: Number of shares of slug corporation = Paid up value/par value per share

Q: Purchase Corporation purchased 60 percent of Steal Company ownership on January 1, 20X7, for…

A: The company can invest in another company. The entities generally make investments in another…

Q: B Co acquired 100% of the voting common shares of SCo, by issuing bonds with a par value and fair…

A: To solve for the requirement, we will use the following solution:B's Balance Sheet Total assets =…

Q: On January 1, 2XX0, Waterfall Inc. acquired a 10% interest in Junior Corp. On January 1, 2XX1,…

A: Investment in associates refers to the type of investment that the firm makes in another company…

Q: Senpai Company acquires 15% of Kohai Company’s common stock for P600,000 cash and carries the…

A: Fair value of net identifiable assets = Fair value of identifiable assets - Fair value of…

Q: Required (a) Explain the impact of the additional 20% purchase of DCA's ordinary share capital by…

A: The consolidated statement of changes in equity provides a comprehensive overview of how a company's…

Q: Assume that Pam company purchased a 25% interest of Sin Company for $1,000,000 on 1/1/X1. At the…

A: When a company acquires the stake in another company, the accounting treatment of the money invested…

Q: eanut Company acquired 75 percent of Snoopy Company's stock at underlying book value on January 1,…

A: Elimination entries are utilized to clarify related firms' consolidated financial statements.…

Q: Presented below are two independent situations: (a) Sandhill Inc. acquired 10% of the 420,000…

A: Whenever a company invests in another company and as a result, obtains significant influence in the…

Q: At a total cost of $6,700,000, Herrera Corporation acquired 238,000 shares of Tran Corp. common…

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

Q: Dewey Corporation owns 30 percent of the common stock of Jimm Company, which it purchased at…

A: Other comprehensive income (OCI) includes revenues, expenses, gains, and losses that have yet to be…

Q: Heidebrecht Design acquired 25% of the outstanding common stock of Carla Vista Company on January 1,…

A: Company can make investments in the common stock of another company. The investor company receives…

Q: Orange Company owns 20% of Blue Company, and accounts for its investment using the equity method. On…

A: The provided scenario revolves around the accounting treatment of an equity investment using the…

Q: The following separate income statements are for Burks Company and its 80 percent–owned subsidiary,…

A: Computation of basic EPS of Company B:

Q: Peel Corporation purchased 60 percent of Split Products Company's shares on December 31, 20X7, for…

A: In the context of the given question, we are required to compute the balance of the investment…

Q: Patriots Co. purchases 80 percent of Seahawk Company on January 1, 20X1, when Patriots’ retained…

A: Introduction: The acquiring company purchases the target company's shares. The acquiring company…

Q: Yonkers Inc. purchases 300,000 of the 1,200,000 shares of Vottle for $1,850,000 on February 9.…

A: The investment in vottle is more than 30% and qualify as equity method investment and the journal…

Q: ABC owns 30% of MELY, which it purchased on 1 January 20X7 for $5,000,000. At that date, MELY had…

A: The corporation which has substantial amount of investment in other corporation is called parent…

Q: Peal Corporation issued 4,000 shares of its $10 par value stock with a market value of $85,000 to…

A: The market value of the common stock of any company on a particular date can be…

Q: On January 1, 20X1, Pinto Company purchased an 80% interest in Sands Inc. for $1,000,000. The equity…

A: Solution Income statement is the statement which shows companies Revenue ,expenses and profitability…

Q: Gaw Company purchased 15% of the common stock of Trace Corporation for $150,000 on 1/1/X1. At the…

A: Dividend paid  = 60,000 X percentage ownership = 15%

Q: Lamberson Cookie Corporation purchased 40% of the 325,000 outstanding shares of HC's Fine Foods,…

A: Journal entry - It refers to the process where the business transactions are recorded in the books…

Q: Purse Corporation acquired 70 percent of Scarf Corporation’s ownership on January 1, 20X8, for…

A: The process of recording business transactions in the books of accounts for the first time is…

Q: Weavile Company acquires 25% of Rhyperior Company's common stock for P380,000 cash and carries the…

A: SOLUTION- TOTAL FAIR VALUE ON ACQUISITION DATE = PURCHASE OF 25% SHARE + PURCHASE OF 55% SHARE +…

Q: Pete Inc. purchased 80% of Paul Co. for $270,000 when Paul's book value was $300,000. Paul has…

A: Book value is the sum of the amounts of all the items in the shareholders' equity section on a…

Q: Federal 13% State 10% FICA 6.2% 1.45% Total deductions Medicare + %3D Net Pay

A: Determining gross pay for salaried employees is a bit different. To calculate gross pay, take total…

Q: (TCO A) Bend Inc. holds 25% of the outstanding voting shares of Calico Co. and appropriately applies…

A: Intra entity profit refers to the profit received from an intra entity transaction.

Q: Strickland Industries purchased a 30% interest in Spartan, Inc. for P600,000. Spartan, Inc. has…

A: Investments is one of the important asset of the business. It can be by purchasing shares, bonds or…

Q: St. George, Incorporated

A: St. Georges net book income before tax $711,800       Installment sale gain (50.12% × $62,000)…

Q: Purchase Corporation purchased 60 percent of Steal Company ownership on January 1, 20X7, for…

A: A patent is usually a legal document that grants inventors exclusive rights to their ideas for a set…

Q: On January 1, 20X6, Plus Corporation acquired 90 percent of Side Corporation for $180,000 cash. Side…

A: Investment is the allocation of resources,  generally money, with the goal of earning  profit or…

Q: On 3 January 20X4, Windsor Company purchased 20% of the shares of Brampton for $572,000 cash.…

A: Answer:- Journal entry meaning:- Journal entry serves as a record of a company's all financial…

Q: ordinary shares of Universal Company for P9,000,000. At the time of purchase, Universal Company had…

A: Fair value through profit or loss (FVPL) means that at each balance sheet date the asset or…

Q: Ute sold $20

A: Non-controlling interest refers to when a company has no control over the decision of the shares not…

Q: On January 1, 20X1, Payne Corp. purchased 70% of Shayne Corp.'s $10 par common stock for $900,000.…

A: Consolidated financial statements are financial reports created by the parent business by combining…

Q: Strickland Industries purchased a 30% interest in Spartan, Inc. for P600,000. Spartan, Inc. has…

A: For significant influence, the investment in shares of other company gets increased with percentage…

Q: Winston Corporation purchased 40 percent of the stock of Fullbright Company on January 1, 20X2, at…

A: Under the equity method of accounting, an investment is first recorded at cost and then adjusted for…

Q: TRICKY Company acquires 25% of JOKER Corporations ordinary shards for P190,000 cash and carries the…

A: Goodwill is calculated as the difference between the amount of consideration transferred from…

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.