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Svet_ta [14]
3 years ago
10

When a parent uses the equity method throughout the year to account for its 80% investment in an acquired subsidiary, which of t

he following statements is false at the date immediately preceding the date on which adjustments are made on the consolidated worksheet?
a. Parent company net income equals controlling interest in consolidated net income.b. Parent company retained earnings equals consolidated retained earnings.c. Parent company total assets equals consolidated total assets.d. Parent company dividends equals consolidated dividends.e. Goodwill will not be recorded on the parent's books.
Business
1 answer:
ValentinkaMS [17]3 years ago
4 0

Answer:

c. Parent company total assets equals consolidated total assets

Explanation:

  • The equity method is a process of treating investment in an associated companies and is usually applied where the investor holds about 50% of the companies stocks and this has a significant influence in the later management.
  • They are recorded in the balance sheets and are associated with the companies net incomes and investments. If 80% of the investment is accounted for the subsidiary then the parent company total assess will not be equal o the total assets as it involves taxes.
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what percentage of loss would a seller in deerfield beach have if he paid $18,000 for a vacant lot, built a home on the lot that
den301095 [7]

Add the cost of the lot and the cost of the house together to get the total cost ($163,000). Next, subtract the sales price from the total cost to get the amount of loss ($10,000) he took. Finally, divide the total cost by the loss amount ($10,000 ÷ $163,000).

The definition of cost is to be valued at something or to lose. A loaf of bread costing $3 is an example of a cost. Giving up your freedom in order to grant freedom to another person is an illustration of the cost.

A company's cost is the amount of money it had to spend to create its goods or services. It is calculated as the sum that the business spends to create a specific number of a product. Simply put, it is the cash that a business spends on things like labour, services, raw materials, and other costs.

Learn more about cost here:

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3 0
1 year ago
An investment should be undertaken A) if the present value of the expected income stream associated with the investment is great
Alona [7]

Answer:

A) if the present value of the expected income stream associated with the investment is greater than the full cost of the investment project.

Explanation:

It is when the present value of the expected income stream associated with the investment is greater than the full cost of the investment project that the project is profitable. Most investments are undertaken with the aim of making profits.

The net present value can be used to determine if the present value of the expected income stream associated with the investment would be greater than the full cost of the investment project.

3 0
3 years ago
What would be the most challenging part of working in IT?
zhuklara [117]

Answer:

The kids in the movie were not acting they were actually scared.

Explanation:

7 0
2 years ago
Read 2 more answers
You will have less money available for other purchases if you choose a car that costs _______ instead of a car that costs ______
Leona [35]
The correct answer would be B. This is because you are spending more money aka $12,000 which would result in you having less money than if you bought one for $8,000!
7 0
3 years ago
Dorcan Corporation manufactures and sells T-shirts imprinted with college names and slogans. Last year, the shirts sold for $7.6
storchak [24]

Answer:

b. 18,602 units.

Explanation:

First, we need to use last year's information to determine last year's fixed costs.

Price (P1) = $7.68

Variable costs (VC1) = $2.25

Units sold to break-even (n1) = 21,800

At the break-even point, net income is zero and the fixed cost can be found by:

N=0 = n_1*(P_1-VC_1) -FC_1\\0=21,800*(\$7.68-\$2.25) - FC_1\\FC = \$118,374

With information from last, information for the current year can be determined:

Price (P2) = $10.00

Variable costs (VC2) = $2.25 x 1.3333 = $3.00

Fixed cost (FC2) = $118,374 x 1.10 = $130,211.4

The number of units required to break even is:

N=0 = n_2*(P_2-VC_2) -FC_2\\0=n_2*(\$10-\$3) - \$130,211.4\\n_2 = 18,601.63\ units

Rounding up to the nearest whole unit, Dorcan Corporation must sell 18,602 units to break-even.

7 0
3 years ago
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