Mulan owns 90% of China. On January 2, 2016, China Company sold equipment costing $100,000...
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Mulan owns 90% of China. On January 2, 2016, China Company sold equipment costing $100,000 to Mulan Company for $160,000. The equipment has a 10 year life. Both firms use Straight Line Depreciation. During 2016 and 2017, China reported Net Incomes of $200,000 and $300,000, respectively. Based on this information, how much investment income should Mulan record in 2017? Prepare the worksheet entries to consolidate the trial balances of Mulan and China on 12/31/2017. You do not need to eliminate the investment account. Show supporting calculations. (No answer choices, textbox entry)
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