• Q : Depreciation expense recorded by a subsidiary....
    Accounting Basics :

    Under the temporal method of consolidating foreign currency financial statements, what exchange rate should be used for translating the depreciation expense recorded by a subsidiary?

  • Q : Inventory under the temporal method....
    Accounting Basics :

    Essco Ltd, a foreign subsidiary of Peako Corp., has written down its inventory to current market value under a "lower of cost or market" rule. When consolidating Essco's balance sheet into Peako's b

  • Q : Parent company currency for all transactions....
    Accounting Basics :

    Which of the following methods for translating foreign currency financial statements attempts to produce consolidated financial statements as if a subsidiary had actually used the parent company's

  • Q : Compute the gain or loss on the intra-entity sale of land....
    Accounting Basics :

    Parker sold the land it purchased from stark in 2010 for $92,000 in 2012. Compute the gain or loss on the intra-entity sale of land.

  • Q : What adjustment would be made regarding the land transfer....
    Accounting Basics :

    Stiller reported net income of $125,000 and $140,000 for 2010 and 2011, respectively. Leo uses the equity method to account for its investment. On a consolidation worksheet, what adjustment would be

  • Q : Compute collin share of smeder net income....
    Accounting Basics :

    Compute Collin's share of Smeder's net income for 2010.

  • Q : Compute consolidated cost of goods sold....
    Accounting Basics :

    During the year, Patti sold merchandise to Shannon for $60,000 at a price based on the normal markup. At the end of the year, Shannon still possesses 30% of this inventory. Compute consolidated cost

  • Q : Find the consolidated cost of goods sold....
    Accounting Basics :

    Webb Co. acquired 100% of Rand Inc. on Jan 5, 2011. During 2011, Webb sold goods to Rand for $2,400,000 that cost Webb $1,800,000. Rand still owned 40% of the goods at the end of the year. Cost of g

  • Q : Book value exceeded the transfer price problem....
    Accounting Basics :

    An intra-entity sale took place whereby the book value exceeded the transfer price of a depreciable asset. Which statement is true for the year following the sale?

  • Q : Transfer price exceeded the book value of depreciable asset....
    Accounting Basics :

    An intra-entity sale took place whereby the transfer price exceeded the book value of a depreciable asset. Which statement is true for the year following the sale?

  • Q : Subsidiary sold the land....
    Accounting Basics :

    Parent sold land to its susidiary for a gain in 2008. The subsidiary sold the land externally for a gain in 2011. Which of the following statements is true?

  • Q : Statement regarding an intra-entity sale of land....
    Accounting Basics :

    Which of the following statements is true regarding an intra-entity sale of land?

  • Q : Non-controlling interest in net income....
    Accounting Basics :

    How would noncontrolling interest in net income have differed if the transfers had been for the same amount and cost, but from Stendall to Edgar?

  • Q : Problem on intra-entity sales as inventory....
    Accounting Basics :

    Intra-entity sales had the same markup as sales to outsiders. Skillet still had 40% of the intra-entity sales as inventory at the end of 2011. What are consolidated sales and cost of goods sold for

  • Q : Intra-entity sales as inventory....
    Accounting Basics :

    Intra-entity sales had the same markup as sales to outsider, Pot still had 40% of the intra-entity sales as inventory at the end of 2011. What are consolidated sales and cost of goods sold for 2011?

  • Q : Find the consolidated sales and cost of goods sold....
    Accounting Basics :

    Skillet still had 40% of the intra-entity sales as inventory at the end of 2011. What are consolidated sales and cost of goods sold for 2011?

  • Q : Eliminated in the consolidation process problem....
    Accounting Basics :

    For 2011, gross profit percentages were 30% of sales for Prince and 40% of sales for Kile. The amount of unrealized intercompany profit in ending inventory at Dec 31, 2011 that should be eliminated

  • Q : Depreciation expense on the consolidated income statement....
    Accounting Basics :

    On their separate 2011 income statements, Parton and Starker reported depreciation expense of $84,000 and $60,000, respectively. The amount of depreciation expense on the consolidated income stateme

  • Q : Advantages-disadvantages of statistical sampling methods....
    Accounting Basics :

    What are the advantages and disadvantages of using statistical sampling methods in an attempt to answer your question?

  • Q : Net of depreciation-consolidated balance sheet....
    Accounting Basics :

    At what amount should the equipment (net of depreciation) be included in the consolidated balance sheet dated December 31, 2010?

  • Q : Gain on the sale of the land realized problem....
    Accounting Basics :

    On November 8, 2011, Power Corp. sold land to Wood Co., its wholly owned subsidiary. The land cost $61,500 and was sold to Wood for $89,000. From the perspective of the combination, when is the gain

  • Q : Calculate the amount of book value per share....
    Accounting Basics :

    Calculate the amount of book value per share for common stock and summarize briefly what that figure means in relation to the current market value of the stock.

  • Q : Find the accumulated depreciation....
    Accounting Basics :

    On January 1, 2009, Carson Company purchased equipment at a cost of $570,000. The equipment was estimated to have a useful life of five years and a salvage value of $60,000. Carson uses the sum-of-

  • Q : What is the net pay for nick dent....
    Accounting Basics :

    FICA taxes are 8% of gross earnings, federal income taxes amount to $952 for the month, state income taxes are 2% of gross earnings, and Nick authorizes voluntary deductions of $15 per month to the

  • Q : How many units must be sold to earn income....
    Accounting Basics :

    Forms, Inc. wants to sell a sufficient quantity of products to earn a profit of $40,000. If the unit sales price is $10, unit variable cost is $8, and total fixed costs are $80,000, how many units m

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