What is the Investment in Sub Ltd balance

Assignment Help Accounting Basics
Reference no: EM132579191

Question - Parent Inc. purchased all of the outstanding shares of Sub Ltd. on January 1, Year 1, for $214,000. Amortization of the acquisition differential amounted to $16,000 in each of Years 1 and 2. Parent Inc. reported net income of $100,000 in Year 1 and $110,000 in Year 2 and paid $40,000 in dividends each year. Sub Ltd. reported net income of $33,000 in Year 1 and $39,000 in Year 2 and paid $8,000 in dividends each year. What is the Investment in Sub Ltd. balance on Parent's books as at December 31, Year 2, if the equity method has been used?

Reference no: EM132579191

Questions Cloud

Explain the accounting treatment to record issuance of bonds : Wide Angle Bhd, Explain the accounting treatment to record issuance of the bonds between interest date and interest expenses on 1 July 2019.
Research reputable nonprofit organization : Research a reputable nonprofit organization that serves people and the community as a servant leader.
Dedicated laboratory information system : Why do laboratories need a dedicated laboratory information system?
Explain differences between primary and secondary sources : Explain the differences between primary and secondary sources used in research. Identify a type of resource for your Final Research Project topic that would.
What is the Investment in Sub Ltd balance : What is the Investment in Sub Ltd. balance on Parent's books as at December 31, Year 2, if the equity method has been used
What is the function of the annulus : What is the function of the annulus? How does dehydration allow it to perform this function?
Advantages and disadvantages of technological change : What are the advantages and disadvantages of technological change? How can information technology lead to beneficial changes within the workplace?
Prepare the journal entry to record the related transactions : Wide Angle Bhd is constructing, How to prepare the journal entry to record the related transactions of bonds on 1 July 2019 and 30 September 2019.
Who owns and controls our personal genetic information : Who owns and controls our personal genetic information? Who should have access to our personal genetic information and decide how it will be used?

Reviews

Write a Review

Accounting Basics Questions & Answers

  At the time of the combination tester reported common stock

on january 1 20x8 ramon corporation acquired 75 percent of tester companys voting common stock for 300000. at the time

  In a february 10 2003 businessweek article cvss potent

in a february 10 2003 businessweek article cvss potent growth potion joseph agnese points out that the retail pharmacy

  Prepare the journal entries for the preceding transactions

Carolina incurred warranty costs of $3,750, and in 2014 warranty costs were $6,930. Prepare the journal entries for the preceding transactions

  Why do you need to record the respective general journal

While posting transactions, why do you need to record the respective General Journal and General Ledger page numbers in the post reference columns?

  Journal entry to record the sale of the bonds

Prepare the journal entry to record the sale of the bonds on January 1, 2008, and the proper balance sheet presentation on this date. Prepare the journal entry to record interest expense on December 31, 2008, and the proper balance sheet presentat..

  A new member of the san diego chargers wants the team to

a new member of the san diego chargers wants the team to transfer 1000000 into an escrow account in his name for later

  New product for its trophy division

Icon Industries is considering a new product for its Trophy Division. The product, which would feature an alligator, is expected to have global market appeal and to become the mascot for many high school and university athletic teams.

  How many enforcement actions does the sec take

Public companies have to file their annual reports to the Securities and Exchange Commission. There are rules that companies are required to follow.

  Brief discussion of substantiation requirements

Advise Andrew of the general rules in this area of the tax law. Include a brief discussion of substantiation requirements

  Scheer companys standard labor cost of producing one unit

scheer companys standard labor cost of producing one unit of product dd is 4 hours at the rate of 12.00 per hour.

  Compare the bank statement with the cash receipts journal

Compare the Bank Statement with the Cash Receipts Journal and Cash Payments Journal. Make supplementary entries in both journals. Close off/cast the bank columns in the journals

  What will be the amount of interest pain in second year

Kellerman Company purchased a building and land with a fair market value of $550,000. What will be the amount of interest pain in second year

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