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yulyashka [42]
3 years ago
13

On January 1, 20X8, Polo Corporation acquired 75 percent of Stallion Company's voting common stock for $300,000. At the time of

the combination, Stallion reported common stock outstanding of $200,000 and retained earnings of $150,000, and the fair value of the noncontrolling interest was $100,000. The book value of Stallion's net assets approximated market value except for patents that had a market value of $50,000 more than their book value. The patents had a remaining economic life of ten years at the date of the business combination. Stallion reported net income of $40,000 and paid dividends of $10,000 during 20X8.
a) Provide the journal entries recorded by Polo at December 31, 20X8 on its book if it accounts for its investment in Stallion using equity method.

b) Provide all consolidation entries needed at December 31, 20X8, to prepare consolidated financial statements.
Business
1 answer:
lions [1.4K]3 years ago
6 0

Answer:

Explanation:

Base on the question been given to us, we can solve this using equity method as seen below

Investments in Polo = 300000+0.75*(40000-10000-5000*)

300000+0.75*(25000)

300000+18750

$318,750

Increase in value of Patent $50,000

Economic Life 10

Amortization $5,000

The $ 5000 would be reduced from the net income

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Igoryamba

Answer:

(B) Hardening sprints

Explanation:

Hardening Sprints are not allowed because the subject of hardening should be continuously address throughout normal Sprints.

Or if the question has the following options:

Which of the following is not allowed in Scrum?

a. Using Story Points

b. Hardening Sprints

c. Release Planning

d. Using Planning Poker

Answer:

(B) Hardening sprints

Explanation:

Using Story Points, Release Planning, Using Planning Poker are not mandatory but allowed. Only hardening sprints are not allowed.

3 0
3 years ago
Below are several transactions for Meyers Corporation for 2018.
Marta_Voda [28]

Answer:

$6,900

Explanation:

The cash flow statement includes three types of activities which are listed below:

1. Operating activities: This involves all transactions that after net income impact the working capital. It would subtract the rise in current assets and a reduction in current liabilities, while adding the decline in current assets and an increase in current liabilities.

It would adjust those changes in working capital. In addition, the depreciation cost is added to the net income, and the loss of asset sales is reduced, while the profit on asset sales is deducted

It also involve cash receipts and cash payments.

2. Investing activities: It tracks operations that include buying and selling long-term properties. The buying is a cash outflow whereas the sale is a cash inflow

3. Financing activities: It tracks transactions that have an impact on long-term debt and equity balance of shareholders. Share issue is a cash inflow while redemption and dividend are cash outflows.

So, the classification and the amount of cash flows is shown below:

a. Issue common stock for cash, $44,000 = $44,000 = Financing activities

b. Purchase building and land with cash, $29,000 = ($29,000) = Investing activities

c. Provide services to customers on account, $6,400 = Not applicable as this transaction does not involve any cash.

d. Pay utilities on building, $700 = ($700) = Operating activities

e. Collect $4,400 on account from customers = $4,400 = Operating activities

f. Pay employee salaries, $8,400. = ($8,400) = Operating activities

g. Pay dividends to stockholders, $3,400.  = ($3,400) = Financing activities

So, the cash flow would be

= $44,000 - $29,000 - $700 + $4,400 - $8,400 - $3,400

= $6,900

7 0
3 years ago
Given your understanding of the marketing discipline (analyzing the situation through the 3cs, developing marketing strategy thr
Dmitrij [34]

Answer:

Explanation:

1.Price: check if our price is still within the range of what our customers can afford or budget for.

2.Promotion: Does our customers or potential customers still view our advertisements.

3.Product: is our product still relevant and up to date when it comes to services and software.

4.Customers: Talk about our target audience, is there any change?

5.Competition: what are our competitors doing, why do customers prefer them to us

5 0
3 years ago
Thomas had conducted a thorough pretest before the new ad campaign,so he was fairly sure the elements would work together.A lot
sergejj [24]

Answer:

C) tracking.

Explanation:

Since in the question, it is mentioned that Thomas has conducted a thorough pretest i.e prior to new ad campaign in order to work the elements together

Also he is monitoring the sales volume on a daily basis as it is part of his tracking which tracks the performance of the work so that he get to know how much work is completed and how much work is pending.

4 0
3 years ago
Stephanie is a twelve-year-old who often assists neighbors on weekends by babysitting their children. Calculate the 2013 standar
Delicious77 [7]

Answer:

a) $1,200

b) $1,850

c) $6,200

Explanation:

First ,we are to determine Stephanie's claims based on different circumstances using the 2013 standard deduction

a) Reported $850 earnings from babysitting - claim 1,200

For 2013, the minimum standard deduction is $1,000, hence Stephanie is able to claim the greater of the following two: The minimum standard deduction of $1,000 or her earned income of $850 + $350 which is $1,200. Stephanie can claim $1,200

b) Reported $1500 - Claim $1,850

For 2013, the minimum standard deduction is $1,000, hence Stephanie is able to claim the greater of the following two: The minimum standard deduction of $1,000 or her earned income of $1500+ $350 which is $1,850. Stephanie can claim $1,850

c) reported $6,200 - Claim $6,200

For 2013, the minimum standard deduction is $1,000, hence Stephanie is able to claim the greater of the following two: The minimum standard deduction of $1,000 or her earned income of $6200+ $350 which is $6,550. However, she can only claim $6,200 because as a 2013 the maximum standard deduction for a single person which is her filing status is $6,200

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