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Determine the realized profit in beginning inventory for NCI

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Question - Suppose that there is no intercompany transaction between subsidiary and parent this year. Parent owns 90% of subsidiary and $5000 is the last year unrealized profit. Subsidiary reported 100,000 income.

Based on the information above, determine the realized profit in beginning inventory for NCI?

A) $100,000

B) $500

C) $3,750

D) $0

Reference no: EM133028641

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