What will be the journal entry or effect of the transaction

Assignment Help Financial Accounting
Reference no: EM132968637

On December 31, Year 10, P owned 100% of S. P's "investment in S" account was $400,000. Pit uses the equity method to account for its investment. On January 1, Year 11, P sold 40% of its shares of S for $200,000 cash.

Problem a) Record journal entry on P's books on Jan. 1, Year 11.

Problem b) What will be the journal entry or effect of the above transaction P's consolidated statements on Jan. 1, Year 11

Reference no: EM132968637

Questions Cloud

How a payroll practitioner could make use of the content : Explore the CPA website and provide detailed information on one of the areas with respect to how a payroll practitioner could make use of the content
How much money do they need to put into the account : If the account promises to pay a fixed interest rate of 4.1% per? year, how much money do they need to put into the account today
How much will pay for the stock : The company just paid a dividend of $4 per share. You require a 16 percent rate of return. How much will you pay for this stock?
Calculate the amount that each partner will receive : Burns' salary will be $40,000 and Smithers' salary will be $30,000. Calculate the amount that each partner will receive
What will be the journal entry or effect of the transaction : On December 31, Year 10, P owned 100% of S. What will be the journal entry or effect of the transaction P's consolidated statements on Jan. 1, Year 11
What is the residual income for division a : Question - A firm has two divisions, A and B. Information for each division is as follows: What is the residual income for Division A
Prepare journal entries to record the events from january : Prepare the journal entries to record the events from January 1 to December 31, Year 10. On Dec 31, Year 10, MM Inc., reported a net income of $600,000.
What adjusting entry to estimate sales discounts is : What adjusting entry or entries to estimate sales discounts is? Of the receivables, $56,000 of them are within the 3% discount period.
How much is the stock worth for sanaponic inc : How much is the stock worth? Sanaponic, Inc. will pay a dividend of $6 for each of the next 3 years, $8 for each of the years 4-7.

Reviews

Write a Review

Financial Accounting Questions & Answers

  Record the last transaction for dec

Record the last transaction (dec 20) assuming the price to reacquire the shares was $12 per share. this is the first time Hum had repurchased

  Determine the after-tax cash flows and the net present value

The lease agreement requires 5 annual payments of R520 000, Determine the after-tax cash flows and the net present value of the cash outflows

  What nelson should record the cost of the land

What Nelson should record the cost of the land and new building, respectively, as? (Salvaged materials resulting from demolition were sold for €10,000.)

  Raiden to obtain a net income

What sales volume would be required for Raiden to obtain a net income of $150,000? Assume Raiden's effective tax rate is 25%

  Calculate the inventory turnover

Suppose at December 31 of a recent year, the following information (in thousands) was available for sunglasses manufacturer Oakley Inc.: ending inventory $167,228; beginning inventory $112,286; cost of goods sold $380,216 and sales revenue $689,374. ..

  Find the amount of consolidated net income

Find the amount of consolidated net income and the income to be assigned to the noncontrolling shareholders of Gulfside and Paddock for 20x7

  How to treat the jasper craft shop

Specify whether the item in question should be included in ending inventory, indicate who owns it? How to treat the Jasper craft shop

  What are red ox net cash inflows from financing activities

Red Ox Corporation's net income for the year ended December 31, 20X4, What are Red Ox's net cash inflows from financing activities for the 20X4 fiscal year?

  Prepare the income statement for the year ended december 31

Prepare the Income Statement for the year ended December 31, 2014.- Prepare the etained Earnings Statement for the year ended December 31, 2014.

  What is company cost of equity capital of williamson inc

What is the company's cost of equity capital? (Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.)

  Determining compound intrest

In 1777, Jacob DeHaven loaned George Washington's Army $450,000 in gold and supplies. Due to a disagreement over the method of repayment 9gold vs. Continental money), DeHaven was never repaid, dying penniless.

  Determine the net cash provided by operating activities

For the just completed year, Hanna Company had net income of $61,500. Balances in the company’s current asset and current liability accounts at the beginning and end of the year were as follows: The Accumulated Depreciation account had total credits ..

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