Manson Corporation acquired 80 percent of Sense Corporation's voting stock on January 1,202, for $320,000. The fair value of the noncontrolling interest was $80,000 at the date of acquisition. Sense reported common stock outstanding of $100,000 and retained earnings of $240,000. The differential is assigned to buildings with an expected life of 15 years at the date of acquisition. On December 31,20X4, Manson had $20,000 of unrealized profits on its books from inventory sales to Sense, and Sense had $30,000 of unrealized profit on its books from inventory sales to Manson. All inventory held at December 31, 20X4, was sold during 205. On December 31,205, Manson had $15,000 of unrealized profit on its books from inventory sales to Sense, and Sense had unrealized profit on its books of $50,000 from inventory sales to Manson. In 205 Sense reported net income of $100,000. The amount Manson will report as Income from Sense Company for year 205 would be: $68,000. $62,800. $65,800. $60,800
Other questions asked by students
In the series RLC circuit of problem 1 the resistor is replaced with the higher available...
A sample of an ideal gas is taken through a cycle a shown in figure...
semimajor axis Study the image below each square is 1 cm Use the squares to...
The data set below contains the length in seconds of commercials during a football broadcast...
Benefits of Xero accounting software for students and what we learnt in assignments from this...