Purple Corporation acquired 75 percent of Socks Corporation's common stock on January 1, 20X8, for...
50.1K
Verified Solution
Link Copied!
Question
Accounting
Purple Corporation acquired 75 percent of Socks Corporation's common stock on January 1, 20X8, for $435,000. At that date, Socks reported common stock outstanding of $300,000 and retained earnings of $200,000, and the fair value of the noncontrolling interest was $145,000. The book values and fair values of Socks's assets and liabilities were equal, except for other intangible assets, which had a fair value $80,000 more than book value and a 10-year remaining life. Purple and Socks reported the following data for 20X8 and 20X9: Socks Corporation ration Comprehensive Dividends Operating Income $120, 000 140,000 Dividends Paid $70,000 Ne Year 20xe 20x9 Income $40,000 60,000 Income Paid $15,000 30,000 $50, 000 65,000 70,000 Required: a. Compute consolidated comprehensive income for 20X8 and 20X9. 20x8 20x9
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!
