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never [62]
3 years ago
11

Pie Corporation paid $319,500 to acquire 90 percent ownership of Slice Company on April 1, 20X2. At that date, the fair value of

the noncontrolling interest was $35,500. On January 1, 20X2, Slice reported these stockholders’ equity balances:

Business
1 answer:
Brums [2.3K]3 years ago
5 0

Answer and Explanation:

As per situation the Journal entries with narrations is here below:-

As per requirement of a

1. Slice Co. investment Dr, $319,500  

        To Cash $319,500

(Being cash paid is recorded)

2. Slice Co. investment Dr, $27,000  

      To  Income from Slice Co. $27,000

(Being investment is recorded)

3 Cash Dr, $13,500  

       To Slice Co. investment $13,500

(Being cash is recorded)

As per requirement b

1. Sales Dr, $90,000  

    To Total Expenses $80,000

     To Dividends Declared $5,000

      To Retained Earnings $5,000

(Being sales is recorded)

2. Common stock Dr, $160,000  

Additional paid-in capital Dr, $40,000  

Retained earnings Dr, $155,000  

Income from Slice Co. Dr, $27,000  

NCI in NI of Slice Co. Dr, $3,000  

       To Dividends declared $15,000  

            ($1,500 + $13,500)

        To Investment in Slice Co. $333,000  

             ($319,500 + $27,000 - $135,00)

         To NCI in NA of Slice Co. $37,000

(Being acquisition is recorded)

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High levels of inventory hide problems within a production system. Some of the problems that high inventory hide are quality pro
Nastasia [14]

Answer: True

Explanation:

It should be noted that having an excess inventory can result into degradation and poor quality goods. This is because there are usually low inventory turnovers when there are high levels of inventory.

Therefore, the option that some of the problems that high inventory hide are quality problems, process downtime, scrap, and late deliveries is true.

3 0
3 years ago
For purposes of allocating joint costs to joint products, the estimated net realizable value at split-off is equal to A. final s
Marta_Voda [28]

Answer:

A. Final sales price reduced by cost to complete after split-off.

Explanation:

Net realizable value (NRV) is explained here to be the value of an asset that can be realized upon the sale of the asset, less a reasonable estimate of the costs associated with the eventual sale or disposal of the asset. It is a common method used to evaluate an asset's value for inventory accounting. NRV is a valuation method used in both Generally Accepted Accounting Principles (GAAP) and International Financial Reporting Standards (IFRS).

Many business transactions allow for judgment or discretion when choosing an accounting method.

A conservative approach means that the accountant should use the accounting method that generates less profit and does not overstate the value of assets.

5 0
3 years ago
Explain the difference between a depository institution and a non-depository institution.
WINSTONCH [101]

Explanation:

First, Depository institution

Institution that collect money from people and pay interest . You may can deposit your cash and withdraw it anytime . If you put longer they pay interest. Interest may be fixed or variable. On other words, from that institution you can send your money to other people ,can get credit or debit card to withdraw or shopping. They gave you loans. Such institution are:

Commercial bank , Saving institution,credit union and so on.

In last remember that those who pay you interest ,give loan facilities, business transaction and collect your money they are Depository. They have 3 types of account for people who want to deposit their money. 1. Current account 2. Saving Account 3. Fixed

Non Depository institution

Where you cannot put your money and withdraw it . You would not get interest. They are intermediary between borrowers and saver. They are:

Mutual funds: where you buy scheme in units. It like investment . Then they pay you bonus and even you can sales it on market. Don't confuse mutual funds collect money from public invest it on market and share their profit.

Insurance companies: they insure your belonginess. They pay when your things goes beyond the normal level. Like. Car theft,goods damage.

Pension fund:

Security firms: investment companies ,broker house.

8 0
3 years ago
Elijah and anastasia are husband and wife who have five married children and nine minor grandchildren. for 2015, what is the max
s344n2d4d5 [400]
To get the answer, you need to calculate this:
19 donees (5 married children + 5 spouses + 9 grandchildren) ×$14,000 (annual exclusion for 2016) × 2 donors (Elijah and Anastasia) = 19(14000) (2)
=19(28000)
=532,000
Through this, you will get the answer of $532,000
4 0
3 years ago
Read 2 more answers
A(n) ____ is the transfer of the control of operations and management from one firm to another with the former becoming a unit o
olya-2409 [2.1K]

Answer:

acquisition

Merger

Explanation:

Acquisition is when a company purchases almost all the shares of another company in order to have full control over it. For companies that are distressed or are not able to operate as a going concern, such can put up the company for sale.

In acquisition, the buying company oftentimes retain its name which is already a brand , work and build on the strength of the old company in order to achieve returns. Companies acquire other companies in order to have large market shares and also to diversify their business operation.

One of the benefit of acquisition is that it gives room for fresh ideas due to coming together of different people and also brings people that are experts in their various fields.

Merger is when two or more firms comes together to form a single entity.

Companies or firm merge in order to form an alliance and also send strong signals to other competitors.

Firms also merge in order to increase their financial capacity. This will enable them to be able to finance their business operations. They are also able to increase their asset base as a result of the merger.

4 0
3 years ago
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