Question

PROUD CORPORATION AND SUBSIDIARY Consolidated Income Statement Year Ended December 31, 20X3 Total expenses 0 Consolidated net income 0 Income to controlling interest $ 0 PROUD CORPORATION AND SUBSIDIARY Consolidated Retained Earnings Statement Year Ended December 31, 20X3 Retained Earnings, January 1, 20X3 Income to Controlling Interest, 20X3 $ 0 Dividends Declared, 20X3 Retained Earnings, December 31, 20X3

Answer 1

Please hit LIKE button if this helped. For any further explanation, please put your query in comment, will get back to you. Part a Event Account Debit Credit A $ 82,000 $ 53,400 $ 29,600 $ 7,400 Common Stock Retained Earning Income from Spirited Co NCI in NI of Spirited Co Dividends Declared Investment in Spirited Co NCI in NA of Spirited Co (Basic elimination entry) $ $ $ 15,600 125,440 31,360 B $ 48,000 Accumulated Depreciation Depreciable Assets $ 48,000 Part b Proud Corp. Spirited Elimination Entries CR DR Consolidated 320,000 -34,000 -175,000 Income Statement Sales Less: Depreciation Expense Less: Other Expenses Income from Spirited Co Consolidated Net Income NCI in Net Income Controlling Interest in Net Income $ 200,000 $ 120,000 $ -22,000 $ -12,000 $ -104,000 $ -71,000 $ 29,600 $ 29,600 $ 103,600 $ 37,000 $ 29,600 $ 7,400 $ 103,600 $ 37,000 $ 37,000 $ $ $ $ $ $ $ 111,000 -7,400 103,600 Statement of Retained Earnings Beginning Balance Net Income Less: Dividends Declared Ending Balance $ $ $ $ 228,000 $ 32,000 $ 32,000 103,600 $ 37,000 $ 37,000 -40,000 $ - 15,600 291,600 $ 53,400 $ 69,000 $ $ $ $ $ $ $ 228,000 103,600 -40,000 291,600 15,600 15,600 $ 48,000 Balance Sheet Current Assets Depreciable Assets Less: Accumulated Depreciation Investment in Spirited Co Total Assets $ 190,000 $ 109,000 $ 511,000 $ 309,000 $ -163,000 $ -60,000 $ 48,000 $ 108,320 $ 646,320 $ 358,000 $ 48,000 $ $ $ $ $ 299,000 772,000 -175,000 $ $ 108,320 156,320 896,000 Current Liabilities Long-Term Debt Common Stock Retained Earnings NCI in NA of Spirited Co. Total Liabilities & Equity $ $ $ $ 48,000 $ 38,000 108,720 $ 184,600 198,000 $ 82,000 $ 82,000 291,600 $ 53,400 $ 69,000 $ $ $ $ $ $ 86,000 293,320 198,000 291,600 27,080 896,000 $ $ $ 15,600 27,080 42,680 $ 646,320 $ 358,000 $ 151,000

Partc Income Statement: $ 320,000 $ 34,000 $ 175,000 Sales Depreciation Other Expenses Total Expenses Consolidated Net Income Income to Noncontrolling Interest Income to Controlling Interest $ $ $ $ -209,000 111,000 -7,400 103,600 Retained Earning Statement: $ Retained Earnings, January 1, 20X3 Income to Controlling Interest, 20x3 $ $ $ $ 228,000 103,600 331,600 -40,000 291,600 Dividends Declared, 20X3 Retained Earnings, December 31, 20X3 Balance Sheet: 299,000 Current Assets Depreciable Assets Less: Accumulated Depreciation Total Assets $ $ 772,000 $ -175,000 $ $ 597,000 896,000 $ $ 86,000 293,320 Current Liabilities Long-Term Debt Stockholders' Equity: Controlling Interest: Common Stock Retained Earnings Total Controlling Interest Noncontrolling Interest Total Stockholders' Equity Total Liabilities and Stockholders' Equity $ 198,000 $ 291,600 $ 489,600 $ 27,080 $ $ 516,680 896,000