User Account

All Pages

Make the journal entries on the books of Jang Corporation

Assignment Help Accounting Basics
Reference no: EM132681759

Question - Journal entries for a step-by-step acquisition (cost and equity methods)

On January 1, 2016, Jang Corporation paid $200,000 in cash for a 10 percent interest in Sheon Corporation when the book value of Sheon's net assets equaled fair value. One year later, on January 1, 2017, Jang decided to purchase an additional 70 percent interest in Sheon for $1,000,000 in cash when the book value of Sheon's net assets still equaled fair value. Sheon Corporation's common stock and retained earnings were $1,500,000 and $500,000, respectively, on December 31, 2015. It declared dividends of $25,000 on March 1 and $25,000 on September 1 in both 2016 and 2017. Its net income was $100,000 in 2016 and $150,000 in 2017.

Required - Assuming that it is now 2018, make the journal entries (other than closing entries) on the books of Jang Corporation during 2016 and 2017 to account for the investment in Sheon.

Reference no: EM132681759

Questions Cloud

Create solutions to address the healthcare : Berkshire Hathaway, and JPMorgan Chase announced their partnership to create solutions to address the healthcare needs of their US employees.
Pass the necessary entries on June : The group measures its property plants and equipment using a costs model. Tax rate is 30 percent. Pass the necessary entries on June
Free-range wireless charger : What are you bringing to the market? -- describe the product. How will you bring it to market?
Discuss whether the entries suggested by Li Chen are correct : Discuss whether the entries suggested by Li Chen are correct, explaining on a line-by-line basis the correct adjustment entry
Make the journal entries on the books of Jang Corporation : Assuming that it is now 2018, make the journal entries (other than closing entries) on the books of Jang Corporation during 2016 and 2017
Create journal entries to record the transactions : Jan. 8 Issued 15,000 shares of previously unissued common stock for $21 cash per share. Create journal entries to record the transactions
What is a non-controlling interest : What is a non-controlling interest, and how should it be disclosed? How are non-controlling interests affected by intra-group transactions
Environments of artificial intelligence : Write the agents and environments of artificial intelligence. What are the nature of the environments and structure of the agents.?
Provide the journal entries necessary to account : Applications are received for 36 million shares during July 2019. The directors allot 30 million shares on 15 August 2019. Provide the journal entries necessary

Reviews

Write a Review

Accounting Basics Questions & Answers

  Significant accounting standard related to dhiraagu

Significant Accounting Standard related to DHIRAAGU, Many accounting standards are important for the company. In this analysis, relevant four sections will be discussed.

  During the current year carl equipment stores had net sales

during the current year carl equipment stores had net sales of 600 million a cost of goods sold of 500 million average

  Legally enforceable contract supported by rights arbitration

What are the advantages and disadvantages of having the workplace governed by a legally enforceable contract supported by rights arbitration?

  A manufacturing company uses a job order cost accounting

a manufacturing company uses a job order cost accounting system. overhead is applied using direct labor hours as an

  The alberts are considering buying another house their

the alberts are considering buying another house. their mortgage payments would increase by 500 to 1500 per month which

  System flowchart of the current system

Create a system flowchart of the current system. Analyze the physical internal control weaknesses of the current system under the COSO framework.

  Prepare the journal entries to record the impairment

Elaina co. has the following investments as of Dec. 31, 2017: Prepare the journal entries to record the impairment of these two securities at Dec. 31, 2018

  There is a general practitioner whose offices are located

there is a general practitioner whose offices are located in the south falls professional building. in the past the dr.

  Compute approximate internal rate of return of each project

Compute the approximate internal rate of return of each project. Which one should be adopted based on the internal rate of return approach

  Alright i need help with this if you can tell me how you

alright i need help with this if you can tell me how you may have gotten some of your answers ill rate you best answer

  Prepare the journal entry for cramer for the transfer

Cramer agrees to repurchase this equipment from Enyart on June 30, 2015, Prepare the journal entry for Cramer for the transfer of the asset to ENyart on July 1

  How do you identify with products you buy

How do you identify with products you buy? What are some of the driving forces behind your decisions to choose one product or service over the other?

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!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

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