CONSOLIDATION WORKSHEET PROBLEM Prepare the selfsame consolidating worksheets based on the subjoined grounds. Companies involved: Parent and Sub. Date of merit: Jan. 1, 20X3 Date of the worksheets you must prepare: December 31, 20X4 " 20X5 " 20X6 Percentage of vulgar shares of S owned by P 75% Price hired by P $ 5,700,000 At the era of merit these were some esteems of S: Common stock $ 950,000 Aditional paid-in chief $ 950,000 Retained earnings $ 627,000 Years FMV-BV Inventories <1 $ 760,000 Other current property <1 $ 285,000 Plant & equipment, cherishing life: 8 $ 1,900,000 Land $ 1,330,000 Long term liabilities; cherishing life: 5 $ 285,000 Intangibles amortization: 6 Intercompany transactions: 20X3 20X4 20X5 20X6 Upstream register sales - $ 142,500 $ 121,125 $ 129,604 % in issue register - 7.50% 9.00% 10.80% Gross gain rate on sales - 37.50% 45.00% 54.00% Upstream building sale, Dec. 31 Sold for $ 1,900,000 Book esteem at era of sale $ 760,000 Remaining life: 10 % of S bonds purchased by P, Jan. 1 55% Price hired $ 1,551,104 BV at that date $ 1,534,930 Remaining life: 5 Maturity esteem of uncongenial bonds $ 1,567,500
1. Complete the worksheets for 20X4-6.
2. Show how the Controlling and Non-controlling shares of Income from S were arrived at in X5 and X6.
3. In disunited schedules for year ends X5 and X6, conciliate the Investment statement after a while S's stockholders' equity.
4. In disunited schedules for year ends X5 and X6, conciliate the issue Noncontrolling Interest after a while S's stockholders'equity. .