Power Corporation owns 75 percent of Surge Company’s stock; no intercompany purchases or sales were made...
Power Corporation owns 75 percent of Surge Company’s stock; no
intercompany purchases or sales were made in 20X4. For the year,
Power and Surge reported sales of $340,000 and $240,000 and cost of
goods sold of $150,000 and $114,000, respectively. Power’s
inventory increased by $30,000, but Surge’s decreased by $14,000.
Power’s accounts receivable increased by $20,000 and its accounts
payable decreased by $16,000 during 20X4. Surge’s accounts
receivable decreased by $10,000 and its accounts payable increased
by $8,000.
a.) cash recieved from customers
b.) cash payments to suppliers
c.) cash flows from operating activities
Homework Answers
|
Cash received from customers 340,000+240,000-20,000+10,000 |
570,000 |
|
Cash payment to suppliers 150,000+114,000+30,000-14,000+16,000-8,000 |
288,000 |
| Cadh flows from operating activities (570,000-288,000) | 282,000 |
Add Answer to:
Power Corporation owns 75 percent of Surge Company’s stock; no
intercompany purchases or sales were made...
Power Corporation owns 75 percent of Surge Company’s stock; no intercompany purchases or sales were made...
Power Corporation owns 75 percent of Surge Company’s stock; no intercompany purchases or sales were made in 20X4. For the year, Power and Surge reported sales of $360,000 and $200,000 and cost of goods sold of $150,000 and $95,000, respectively. Power’s inventory increased by $33,000, but Surge’s decreased by $15,000. Power’s accounts receivable increased by $19,000 and its accounts payable decreased by $19,000 during 20X4. Surge’s accounts receivable decreased by $14,000 and its accounts payable increased by $5,000. Required: Assuming...
Power Corporation owns 75 percent of Surge Company's stock; no intercompany purchases or sales were made...
Power Corporation owns 75 percent of Surge Company's stock; no intercompany purchases or sales were made in 20X4. For the year, Power and Surge reported sales of $390,000 and $240,000 and cost of goods sold of $150,000 and $114,000, respectively. Power's inventory increased by $26,000, but Surge's decreased by $16,000. Power's accounts receivable increased by $25,000 and its accounts payable decreased by $12,000 during 20X4. Surge's accounts receivable decreased by $10,000 and its accounts payable increased by $6,000. Required: Assuming...
Pecan Corporation’s controller has just finished preparing a consolidated balance sheet, income statement, and statement of...
Pecan Corporation’s controller has just finished preparing a consolidated balance sheet, income statement, and statement of changes in retained earnings for the year ended December 31, 20X4. Pecan owns 60 percent of Sandy Corporation’s stock, which it acquired at underlying book value on May 7, 20X1. At that date, the fair value of the noncontrolling interest was equal to 40 percent of Sandy Corporation’s book value. You have been provided the following information: Consolidated net income for 20X4 was $271,000....
Fred Corporation owns 75 percent of Winner Company's voting shares, acquired on March 21, 20X5, at...
Fred Corporation owns 75 percent of Winner Company's voting shares, acquired on March 21, 20X5, at book value. At that date, the fair value of the noncontrolling interest was equal to 25 percent of the book value of Winner Company. Winner Fred Corporation Co Cash and Receivables Inventory Land Buildings and Equipment Investment in Winner Company Stock $70,000 $10,000 20,000 45,000 250,000 150,000 46,250 140,000 93,750 Debits $600,000 $225,000 Accun Depreciation Accounts Payable Notes Payable Common Stock Retained Eamings $100,000...
Purse Corporation owns 70 percent of Scarf Company’s voting shares. On January 1, 20X3, Scarf sold...
Purse Corporation owns 70 percent of Scarf Company’s voting
shares. On January 1, 20X3, Scarf sold bonds with a par value of
$675,000 at 98. Purse purchased $450,000 par value of the bonds;
the remainder was sold to nonaffiliates. The bonds mature in five
years and pay an annual interest rate of 8 percent. Interest is
paid semiannually on January 1 and July 1.
Required:
a. What amount of interest expense should be reported in the 20X4
consolidated income statement?...
The financial statements for Fallon Sales Limited are shown below: Statement of Financial Position As of...
The financial statements for Fallon Sales Limited are shown below: Statement of Financial Position As of 31 December 20X5 20X4 Assets Cash $ 17,100 $ 20,000 Accounts receivable 72,500 60,000 Merchandise inventory 131,400 180,000 Prepaid insurance 2,600 2,400 Investments 10,000 30,000 Land 70,000 70,000 Capital assets, net 278,000 240,000 Goodwill, net 67,900 106,600 $649,500 $709,000 Liabilities and equity Accounts payable $ 98,000 $111,000 Rent payable 6,500 2,000 Income tax payable 6,400 8,000 Bonds payable 150,000 260,000 Pension obligation...
Prime Company holds 80 percent of Suspect Company’s stock, acquired on January 1, 20X2, for $160,000....
Prime Company holds 80 percent of Suspect Company’s stock, acquired on January 1, 20X2, for $160,000. On the acquisition date, the fair value of the noncontrolling interest was $40,000. Suspect reported retained earnings of $50,000 and had $100,000 of common stock outstanding. Prime uses the fully adjusted equity method in accounting for its investment in Suspect. Trial balance data for the two companies on December 31, 20X6, are as follows: Prime Company Suspect Company Item Debit Credit Debit Credit Cash...
32. Matlock Company reported total sales revenue of $55,000 and total expenses amounting to $45,000 (i.e.,...
32. Matlock Company reported total sales revenue of $55,000 and total expenses amounting to $45,000 (i.e., net income $10,000) on its income statement for the year ended December 31, 20B. During 20B, accounts receivable decreased by $4,000, merchandise inventory decreased by $6,000, accounts payable increased by $2,000 and depreciation of $8,000 was recorded. Therefore, based only on this information, the net cash flow from operating activities for 20B was: A) $10,000 B) $18,000 C) $19,000 D) $30,000 E) None of...
Mill Corporation acquired 100 percent ownership of Roller Company on January 1, 20X8, for $128,000. At...
Mill Corporation acquired 100 percent ownership of Roller Company on January 1, 20X8, for $128,000. At that date, the fair value of Roller's buildings and equipment was $20,000 more than book value. Accumulated depreciation on this date was $30,000. Buildings and equipment are depreciated on a 10-year basis. Although goodwill is not amortized, the management of Mill concluded at December 31, 20X8 that goodwill involved in its acquisition of Roller shares had been impaired and the correct carrying value was...
Majority-Owned Subsidiary Acquired et Higher than Book Value LO 5-2 E5-6 Professor Corporation acquired 70 percent...
Majority-Owned Subsidiary Acquired et Higher than Book Value LO 5-2 E5-6 Professor Corporation acquired 70 percent of Scholar Corporation's common stock on December 31, 20x4, for $102,200. The fair value of the noncontrolling interest at that date was determined to be $43,800. Data from the balance sheets of the two companies included the following amounts as of the date of acquisition Professor Scholar Item Corporation Corporation S s0,300 Cash $ 21,000 Accounts Receivable 90,000 44,000 Inventory 130,000 75,000 Land 60,000...
Power Corporation owns 75 percent of Surge Company's stock; no intercompany purchases or sales were made in 20X4. For the year, Power and Surge reported sales of $390,000 and $240,000 and cost of goods sold of $150,000 and $114,000, respectively. Power's inventory increased by $26,000, but Surge's decreased by $16,000. Power's accounts receivable increased by $25,000 and its accounts payable decreased by $12,000 during 20X4. Surge's accounts receivable decreased by $10,000 and its accounts payable increased by $6,000. Required: Assuming...
Fred Corporation owns 75 percent of Winner Company's voting shares, acquired on March 21, 20X5, at book value. At that date, the fair value of the noncontrolling interest was equal to 25 percent of the book value of Winner Company. Winner Fred Corporation Co Cash and Receivables Inventory Land Buildings and Equipment Investment in Winner Company Stock $70,000 $10,000 20,000 45,000 250,000 150,000 46,250 140,000 93,750 Debits $600,000 $225,000 Accun Depreciation Accounts Payable Notes Payable Common Stock Retained Eamings $100,000...
Purse Corporation owns 70 percent of Scarf Company’s voting
shares. On January 1, 20X3, Scarf sold bonds with a par value of
$675,000 at 98. Purse purchased $450,000 par value of the bonds;
the remainder was sold to nonaffiliates. The bonds mature in five
years and pay an annual interest rate of 8 percent. Interest is
paid semiannually on January 1 and July 1.
Required:
a. What amount of interest expense should be reported in the 20X4
consolidated income statement?...
32. Matlock Company reported total sales revenue of $55,000 and total expenses amounting to $45,000 (i.e., net income $10,000) on its income statement for the year ended December 31, 20B. During 20B, accounts receivable decreased by $4,000, merchandise inventory decreased by $6,000, accounts payable increased by $2,000 and depreciation of $8,000 was recorded. Therefore, based only on this information, the net cash flow from operating activities for 20B was: A) $10,000 B) $18,000 C) $19,000 D) $30,000 E) None of...
Majority-Owned Subsidiary Acquired et Higher than Book Value LO 5-2 E5-6 Professor Corporation acquired 70 percent of Scholar Corporation's common stock on December 31, 20x4, for $102,200. The fair value of the noncontrolling interest at that date was determined to be $43,800. Data from the balance sheets of the two companies included the following amounts as of the date of acquisition Professor Scholar Item Corporation Corporation S s0,300 Cash $ 21,000 Accounts Receivable 90,000 44,000 Inventory 130,000 75,000 Land 60,000...
Most questions answered within 3 hours.
-
What is the net ionic equation for the reaction that would occur
when an aqueous solution...
asked 42 minutes ago -
A
student bought $1000 worth of furniture. What is the equivalent
annual cost if it is...
asked 49 minutes ago -
What taboo subject did Ida B. Wells suggest was consensual
between black men and white women?...
asked 2 hours ago -
You have just been hired by the EPA to help with the new gas
mileage standards...
asked 3 hours ago -
4) A firm is hit by increases in its wage rate, w.
a) How does this...
asked 3 hours ago -
A square current loop 5.4 cm on each side carries a 510 mA
current. The loop...
asked 5 hours ago -
What are five tips in conducting knowledge assessment/literature
review research? Each of these tips needs to...
asked 6 hours ago -
Antigen presenting cells link innate and adaptive immune
responses. In the theoretical scenario where phagosomes cannot...
asked 6 hours ago -
Dealing with conflict, in my opinion, is a skill and an art. I
believe that those...
asked 6 hours ago -
6. A long straight wire with circular cross section and radius
1.5 cm carries a 1.2...
asked 6 hours ago -
Deacon Corporation has provided the following financial data
from its balance sheet and income statement:
Year...
asked 7 hours ago -
List and discuss at least three variables from everyday life for
which you expect the variable ...
asked 7 hours ago