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Question: Miller Corporation (a 90 percent subsidiary) sells equipment to its parent, Huss Enterprises, for $180,000 on October 1, 2015. At that date, the equipment and accumulated depreciation accounts on Miller's financial records are $350,000 and $134,000, respectively. The equipment has a remaining life of six years for Miller and is assigned a life of five years when acquired by Huss.
Required: a. Prepare the worksheet elimination for the intercompany transaction assuming that the consolidation occurs on December 31, 2016.
b. What is the income to noncontrolling interest in 2016 if Miller has reported net income of $146,000?
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