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Company A a manufacturing conglomerate, owns 85% of the voting interests of Company B, a financial services company. Company B owns 65% of the voting interests of Company C, an automobile leasing company. In Company A's consolidated financial statements, should consolidation accounting or equity method accounting be used for Company B and Company C?
A. Equity Method used for both?
B. Equity for Company B and Consolidation for Company C?
C. Consolidation for both B and C?
D. Consolidation for Company B and equity for Company C?
A year-end physical inventory at retail prices yields a total inventory of $78,550. Prepare a calculation Showing the company's loss from shrinkage at cost and at retail.
The following information is available for Pet Store Company and its two divisions, Pet Supplies and Training. Compute the contribution margin for the Pet Supplies Division. Compute the contribution controllable by the manager of the Training Divisio..
Avery Corporation has two divisions, A and B, which are both organized as profit centers; Division A produces and sells widgets to Division B and to outside customers. Division A has total costs of $35, $20 of which are variable. Division A is operat..
The calendar year partnership started business in September 2011. Describe how all these initial expenses are treated by the partnership.
If sales totaled $200,000 for the current year (10,000 units at $20 each) and planned sales totaled $150,000 (12,500 units at $12 each), the effect of the unit price factor on the change in sales is a:
What are some of major differences in our budget process for "For Profit" and "Not For Profit" organizations?
The board of directors of Weston Company declared a cash dividend of $1.50 per share on 42,000 shares of common stock on July 15, 2007. The dividend is to be paid on August 15, 2007, to stockholders of record on July 31, 2007. The effects of the jour..
Joint-cost allocation. Clover Dairy Products Corp. buys one input, full-cream milk, and refines it in a churning process. From each gallon of milk Clover produces three cups of butter and nine cups of buttermilk. Physical-measure method (using cups) ..
You invest $25,000 today at 8% per year. How much money will you have accumulated after 13 years? Your friend has learned that he is going to receive $7,500 a year for the next 10 years. Utilizing 5% interest rate, calculate the current value of the ..
Which of the following is an example of a variable cost and Which one of the following statements best explains why companies want to distinguish between direct and indirect costs
Are the approaches you described in answer to question (2) mutually exclusive, or can they be used to complement each other? Explain?
Improvement to a machine that increased its fair market value and its production capacity by 30% without extending the machine's useful life.
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