Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. accounting
  3. on january 1, 2012, smeder company, an 80% owned s

On January 1, 2012, Smeder Company, an 80% owned subsidiary of Collins, Inc. transferred equipment...

80.2K

Verified Solution

Question

Accounting

On January 1, 2012, Smeder Company, an 80% owned subsidiary of Collins, Inc. transferred equipment with a 10-year life (six of which remain with no salvage value) to Collins in exchange for $84,000 cash. At the date of transfer, Smeder's records carried the equipment at a cost of $120,000 less accumulated depreciation of $48,000. Straight-line depreciation is used. Smeder reported net income of $28,000 and $32,000 for 2012 and 2013, respectively.

Prepare the consolidation entries related to the equipment for year 2012 and year 2013

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students

Basic Math
1.2K views

s false q is true and FIS PAq q v r ose the correct answer...

Statistics
1.2K views

Use the score formula z x14 O and the information below to find the value...

Calculus
1.2K views

9 If y tan r sin x calculate y Answer y sec r sin 2...

Algebra
1.2K views

3 Solve 2x 6 3 x

Accounting
1.2K views

Explain how the following standards of the CFA Institute Code of Ethics and Standards of...

Accounting
1.2K views

QUESTION 3 Case Study: Urban Bistro Chain LMN Urban Bistros is a distinguished franchise with...

Accounting
1.2K views

Cane Company manufactures two products called Alpha and Beta that sell for $170 and $130,...

Accounting
1.2K views

Emyet all gopadicts naredaritered Emyet all gopadicts naredaritered

Accounting
1.2K views

#10 - True or False: Intangibles such as patents and copyrights are amortized each year...

Accounting
1.2K views

During the taking of its physical inventory on December 31, Almond Supplies Company incorrectly counted...

Accounting
1.2K views

Dirk Ward borrowed $13,000.00 for investment purposes on May 26 on a demand note providing...

Accounting
1.2K views

complete the 9 boxes Given Information Unit Extended Units Cost...