Prepare the necessary consolidated

Assignment Help Accounting Basics
Reference no: EM13503247

Petersen owns 80% of Seavoss, acquired several years ago at a price equal to book value. Petersen and Seavoss sell merchandise to each other. For 2014, unconfirmed profits in inventories are as follows: Petersen: Beginning Inventory- $20,000 Ending Inventory- $25,000. Seavoss Beginning Inventory- $10,000 Ending Inventory- $8,000. Total upstream sales in 2014 were $400,000; downstream sales were $600,000. Seavoss' reported income for 2014 was 100,000

Required:
a) prepare the necessary consolidated working paper eliminations for 2014
b) Calculate Petersen's equity in Seavoss income for 2014, assuming the only intercompany eliminations are for merchandise sales.
c) Calculate noncontrolling interest in consolidated net income for 2014, assuming the only intercompany eliminations are for merchandise sales.

Reference no: EM13503247

Reviews

Write a Review

 

Accounting Basics Questions & Answers

  Computing costs for university cafe

The University Café has seen sales drop since classes have been scheduled during the noon hour and only 5 minutes between classes. Students don't have enough time to choose from the buffet line.

  Question-cole manufacturing company

Cole Manufacturing Company buys land for $50,000 on12-31-2000. As of 3-31-2001, the land has appreciated in value to$50,500. On 12-31-2001, the land has an appraised value of $51,800. By what amount should Cole Manufacturing Company record the Lan..

  Percentage-of-completion and completed-contract methods

When comparing the percentage-of-completion and completed-contract methods of accounting for long-term construction contracts, both methods will report the same:

  Briefly state the principal activities of the business

Briefly state the principal activities of the business and how those differ from the activities undertaken by its close competitors in the industry and what are the significant changes in the activities of the company that have occurred since last ..

  Cost of preferred stock for burger queen

It is anticipated the preferred stock will pay $6 per share in dividends. (a) Compute the cost of preferred stock for Burger Queen.

  Bruno company accumulates the following data regarding the

bruno company accumulates the following data concerning a mixed cost using miles as the activity level.

  However due to uncertantiesregarding foundation funding it

the cost accountant for a drug company has informed you thatthe companys materials quality variance for a allegra was

  Research examine and defend why it is essential for

research analyze and defend why it is essential for an organization to have a positive corporate culture. in addition

  A company estimates that warranty expense will be 4 of

a company estimates that warranty expense will be 4 of sales. the companys sales for the current period are 185000. the

  Which ratio or concept describes the exten

Which ratio or concept describes the extent to which the government has lived within its means for the year?

  Receivable management of selling problem

What are the implications for a company's receivable management of selling its products internationally?

  What is the carrying value of the bonds

What is the carrying value of the bonds on June 30, 2009?

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd