Advanced Accounting (Looseleaf)
12th Edition
ISBN: 9780077632595
Author: Hoyle
Publisher: MCG
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Question
Chapter 4, Problem 26P
a.
To determine
Identify the figures which would appear in a consolidated income statement for this year.
a.
Expert Solution
Explanation of Solution
Figures which would appear in a consolidated income statement for this year:
| Particulars | Amount |
| Consolidated revenues | $ 1,500,000 (1) |
| Consolidated expenses | $(1,031,000) (2) |
| Consolidated net income | $ 469,000 (3) |
| Balance of non-controlling interest in Company S | $ (50,700) (4) |
| Balance of Controlling interest in Company S | $ 418,300 (5) |
Table: (1)
Working note:
Computation of consolidated revenues:
Computation of consolidated expenses:
Computation of consolidated net income:
Computation of amount of net income of Company S allocated to non-controlling interest:
Computation of amount of net income of allocated to controlling interest:
b.
To determine
Identify the amounts which would appear in a consolidated income statement for this year.
b.
Expert Solution
Explanation of Solution
Amounts which would appear in a consolidated income statement for this year:
| Particulars | Amount |
| Consolidated revenues | $ 1,350,000 (6) |
| Consolidated expenses | $ (923,250) (7) |
| Consolidated net income | $ 426,750 (8) |
| Balance of non-controlling interest in Company S | $ (38,025) (9) |
| Balance of Controlling interest in Company S | $ 388,725 (10) |
Table: (1)
Working note:
Computation of consolidated revenues:
Computation of consolidated expenses:
Computation of consolidated net income:
Computation of amount of net income of Company S allocated to non-controlling interest:
Computation of amount of net income of allocated to controlling interest:
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Chapter 4 Solutions
Advanced Accounting (Looseleaf)
Ch. 4 - Prob. 1QCh. 4 - Atwater Company acquires 80 percent of the...Ch. 4 - What is a control premium and how does it affect...Ch. 4 - Prob. 4QCh. 4 - How is the noncontrolling interest in a subsidiary...Ch. 4 - Prob. 6QCh. 4 - Prob. 7QCh. 4 - Prob. 8QCh. 4 - Prob. 9QCh. 4 - Prob. 10Q
Ch. 4 - Prob. 1PCh. 4 - Prob. 2PCh. 4 - Prob. 3PCh. 4 - Prob. 4PCh. 4 - Prob. 5PCh. 4 - Prob. 6PCh. 4 - Prob. 7PCh. 4 - Prob. 8PCh. 4 - Prob. 9PCh. 4 - Prob. 10PCh. 4 - Prob. 11PCh. 4 - Prob. 12PCh. 4 - Prob. 13PCh. 4 - Prob. 14PCh. 4 - Prob. 15PCh. 4 - Prob. 16PCh. 4 - Prob. 17PCh. 4 - Prob. 18PCh. 4 - Current liabilities: a. 50,000 b. 46,000 c. 40,000...Ch. 4 - Prob. 20PCh. 4 - Stockholders equity: a. 80,000 b. 90,000 c. 95,000...Ch. 4 - Prob. 22PCh. 4 - Prob. 23PCh. 4 - Prob. 24PCh. 4 - Prob. 25PCh. 4 - Prob. 26PCh. 4 - Prob. 27PCh. 4 - Prob. 28PCh. 4 - Prob. 29PCh. 4 - Prob. 30PCh. 4 - Prob. 31PCh. 4 - Prob. 32PCh. 4 - Prob. 33PCh. 4 - Prob. 34PCh. 4 - Prob. 35PCh. 4 - Prob. 36PCh. 4 - Prob. 37PCh. 4 - Prob. 38PCh. 4 - Prob. 39PCh. 4 - Prob. 40PCh. 4 - Prob. 41PCh. 4 - Prob. 42PCh. 4 - Prob. 1DYS
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