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  3. on october 6, 2021, ronan corp. sold land to bane

On October 6, 2021, Ronan Corp. sold land to Bane Co., its wholly owned subsidiary....

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Accounting

imageimage On October 6, 2021, Ronan Corp. sold land to Bane Co., its wholly owned subsidiary. The land cost $72,400 and was sold to Bane for $96,000. For consolidated financial statement reporting purposes, when must the gain on the sale of the land be recognized? Multiple Choice Proportionately over a designated period of years. When Bane Co. sells the land to a third party. No gain may be recognized. As Bane uses the land. When Bane Co. begins using the land productively. Parent sold land to its subsidiary resulting in a gain in 2019 , the year of transfer. The subsidiary sold the land to an unrelated third party for a gain in 2022. Which of the following statements is true? Multiple Choice A gain will be recognized in the consolidated income statement in 2019 . A gain will be recognized in the consolidated income statement in 2022 . No gain will be recognized in the 2022 consolidated income statement. Only the parent company will recognize a gain in 2022 . The subsidiary will recognize a gain in 2019

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