Documenti di Didattica
Documenti di Professioni
Documenti di Cultura
Part A
Penuin CGS
Snow CGS
Elimination of 2012
Deferred Revene 2011
Deffered Revenue of 2012
CGS
290,000
197,000
(110,000)
(8,000)
12,000
381,000
Penguins inv
Snow Inv
Deferred Rev
Conolidated Inventory
346,000
110,000
(12,000)
444,000
Part B
Penuin CGS
Snow CGS
Elimination of 2012
Deferred Revene 2011
Deffered Revenue of 2012
Penguins inv
Snow Inv
Deferred Rev
Conolidated Inventory
290,000
197,000
(80,000)
(6,000)
10,000
411,000
346,000
110,000
(10,000)
446,000
Part C
Penguin Building
Snow building
Overstatement of building
Removal of depreciation
Building
358,000
157,000
-30000
12,000
497,000
150,000
105,000
6,000
261,000
Noncontrolling Interest
Because it was down stream there is no
effect on non controlling interest
They still report the net income at
11,600 like in part A
Problem 24
Part A
Consolidated Net Income
Income from Slaughter
Income from Bennett
Unpatented technology
Excess in equipment
Excess Deprecation Expense
Net Income
Part B
Net Income
Unpatented Technology
Non controlling interest
Adjusted Net Income
Non Controlling interest
Consoldiated Net Income
220,000
90,000
(8,000)
(50,000)
10,000
262,000
262,000
(8,000)
90,000
82,000
8,200
253,800
Part C
Reported Net Income
Unpatented Technoloy
Excess in equipment
Excess Depreciation expense
Net Income
Outside ownership
Non controlling interest
Part D
Slaughter Net Income
Bennett Net Income
Amoritzation Expense
Depreciation Expense
Net Income
240,000
100,000
(8,000)
10,000
342,000
262,000
(4,200)
257,800
Problem 36
Consideration
Book Value
Excess Fair value over book value
Trademark
Patented Technology
Life of asset
Depreciation Expense
450,000
300,000
150,000
30,000
120,000
8
15,000
Skyline Income
Depreciation Expense on Patented Technology
Defferal on gain of land
Unrealized gross profit at beginning
Unrealized gross profit at end
Equity in Skyline
(88,000)
15,000
18,000
(14,400)
14,000
(55,400)
Entry *G
Retained Earning 1/1
Cost of Goods Sold
14,400
14,400
Entry S
Common Stock
Additional Paid in Captial
Retained Earning 1/1
Investment in Skyline
120,000
30,000
277,600
Entry A
Trademark
Patented Technology
Investment in Skyline
30,000
105,000
Entry I
Investment income
Investment in Skyline
55,400
Entry D
Investment in Skyline
Dividends Distributed
20,000
Entry E
Operating Expenses
Patented Technology
15,000
Entry TI
427,600
135,000
55,400
20,000
15,000
Revenues
Cost of good sold
80,000
80,000
Entry G
Cost of Goods Sold
Inventory
14,000
Entry TL
Gain on Sale of land
Land
18,000
Entry P
Accounts Payable
Acccounts Receviable
65,000
14,000
18,000
65,000
Beginning Inventory
Gross Profit Percent
Unrealized Gross Profit at Beg.
36,000
40%
14,400
Ending Inventory
Gross Porfit Percentage
Unrealized Gross Profit at End
28,000
50%
14,000
Accounts
Revenues
Cost of Goods Sold
Parkway Inc
Skyline Corporation
(627,000)
(358,000) TI
289,000
195,000 G
170,000
(18,000)
(55,400)
(241,400)
(314,600)
75,000
(88,000)
(292,000)
Net Income
Dividends Distributed
Retained Earning 12/31/11
Cash and receivables
Inventory
Investment in Skyline
(241,400)
70,000
(486,000)
134,000
281,000
598,000
(88,000)
20,000
(360,000)
150,000
112,000
D
Trademarks
Land, building, and equip
Patented Technology
Total Assets
Liabilities
Common Stock
Additional Paid in Capital
Retained Earning 12/31/11
Total Liabilities and equity
637,000
1,650,000
(463,000)
(410,000)
(291,000)
(486,000)
(1,650,000)
50,000
283,000
130,000
725,000
(215,000)
(120,000)
(30,000)
(360,000)
(725,000)
E
TL
I
G*
S
Consolidated Entries
80,000
14,000 G*
14,400
TI
80,000
15,000
18,000
55,400
14,400
277,600
D
P
G*
20,000 S
A
I
20,000
65,000
14,000
427,600
135,000
55,400
30,000
TL
105,000 E
P
S
S
65,000
120,000
30,000
844,400
18,000
15,000
844,400
Consolidated Totals
(905,000)
403,600
260,000
(241,400)
(314,600)
(241,400)
70,000
(486,000)
219,000
379,000
-
80,000
902,000
220,000
1,800,000
(613,000)
(410,000)
(291,000)
(486,000)
(1,800,000)