Prepare the worksheet consolidation entry or entries

Assignment Help Accounting Basics
Reference no: EM132091419

Question - Able Company issued $1,020,000 of 10 percent first mortgage bonds on January 1, 20X1, at 102. The bonds mature in 20 years and pay interest semiannually on January 1 and July 1. Prime Corporation purchased $680,000 of Able's bonds from the original purchaser on December 31, 20X5, for $675,000. Prime owns 60 percent of Able's voting common stock.

Required:

a. Prepare the worksheet consolidation entry or entries needed to remove the effects of the inter corporate bond ownership in preparing consolidated financial statements for 20X5.

b. Prepare the worksheet consolidation entry or entries needed to remove the effects of the inter corporate bond ownership in preparing consolidated financial statements for 20X6.

Reference no: EM132091419

Questions Cloud

What is the value of the swap : The three-month LIBOR rate one month ago was 11.8% per annum. All rates are compounded quarterly. What is the value of the sw
What method of depreciation does the company use : Finding Financial Information Refer to the financial statements of The Home Depot in Appendix A at the end of this book, or download the annual report from.
Compute for the market rate of return on stock : How can I compute for the market rate of return on this stock??
Employees to deliver excellent service and productivity : How can you motivate frontline employees to deliver excellent service and productivity?
Prepare the worksheet consolidation entry or entries : Prepare worksheet consolidation entry or entries needed to remove the effects of inter corporate bond ownership in preparing consolidated financial statements
How much remains owing on the mortgage immediately : How much remains owing on the mortgage immediately after you make the payment 10 years from today (t=120)? (Indicate the answer which is closest)
Compute amortization for the given year ended : Determining Financial Statement Effects of Activities Related to Intangible Assets Pandey Company entered into the following transactions that potentially.
What the differences are between economics : Could someone tell me what finance means by definition in you are in a finance class and could someone explain what the differences are between economics
So obviously some goals of a firm would be to make : So obviously some goals of a firm would be to make profit but what are some other goals and what about goals on the financial management side?

Reviews

Write a Review

Accounting Basics Questions & Answers

  Roofling company paid wages

Roofling Company paid wages of $319,600 this year. Of this amount, $193,900 was taxable for net FUTA and SUTA purposes. The state's contribution tax rate is 4.3% for Roofling Company.

  What is the amount that will be credited to paid-in capital

What is the amount that will be credited to Paid-in Capital in Excess of Par Common Stock on the date of declaration

  Prepare a summary journal entry for revenue recognition

Wild willy sandwich shop sell sandwiches throughout the country. Wws customers can sign up for a reward card that allows them to receive a free sandwich.

  Prepare journal entries to assign manufacturing costs to

heritage furniture co. uses a standard cost system. one of thecompanys most popular products is an oak

  Show how any deferred tax amounts should be classified

Show how any deferred tax amounts should be classified and reported in the 2011 balance sheet.

  Oklahoma manufacturing company uses a standard cost system

oklahoma manufacturing company uses a standard cost system. in 2012 28400 units were produced. each unit took several

  What is the amount of the cash discount allowable

Merchandise subject to terms 1/10 n/30, FOB shipping point, is sold on account to a customer for $18,000. The seller paid transportation cost pf $1000 and issued a credit memorandum for $5,000 prior to payment. What is the amount of the cash disco..

  Kelly corporation is considering an investment proposal

kelly corporation is considering an investment proposal that requires an initial investment of 150000 in equipment.

  How much product-level overhead is assigned to current order

Shaver Co. manufactures variety of electric razors for men and women. Using ABC how much product-level overhead is assigned to the current order for Mens Razors

  Share of partnership liabilities

At the end of the year, Marianne's share of partnership liabilities decreased by $30,000. Assuming loss limitation rules do not apply, Marianne's basis in the partnership interest at the end of the year is:

  Managerial accounting applies to each of the following types

Managerial accounting applies to each of the following types of businesses except

  Solve numerically for the proportions of each asset

Solve numerically for the proportions of each asset and for the expected return and standard deviation of the optimal risky portfolio. (Do not round intermediate calculations and round your final answers to 2 decimal places. Omit the "%" sign in your..

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