anthonygarib24

03.04.2021 • 

Business

Stage Company operates on a calendar-year basis, reporting its results of operations quarterly. For the first quarter of 20X1, Stage reported sales of $260,000 and operating expenses of $200,000 and paid dividends of $14,000. On April 1, 20X1, Parachute Theaters Inc. acquired 85 percent of Stages common stock for $765,000. At that date, the fair value of the noncontrolling interest was $135,000, and Stage had 100,000 outstanding shares of $1 par common stock, originally issued at $6 per share. The differential is related to goodwill. On December 31, 20X1, the management of Parachute Theaters reviewed the amount attributed to goodwill as a result of its purchase of Stage common stock and concluded that goodwill was not impaired. Stages retained earnings statement for the full year 20X1 appears as follows:

Retained Earnings, January 1, 20X1 $142,000
Net Income 167,000
Dividends (31,000)
Retained Earnings, December 31, 20X1 $278,000

Parachute Theaters accounts for its investment in Stage using the equity method.

Required:
a. Present all entries that Parachute Theaters would have recorded in accounting for its investment in Stage during 20X1.
b. Present all consolidation entries needed in a worksheet to prepare a complete set of consolidated financial statements for the year 20X1.

Ответ:

kaileyy06

25.07.2022

Business

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see below

Explanation:

This expression represents terms of credit as offered by a seller.

The first digit 3, represents is the discount offered as a percentage of the invoice amount. The second digit 10, is the number of days the discount is availablen stands for netThe last digit 25, is the number of days within which the net is expected if the discount option is not taken.

This means that

A discount of 3 % is available on the total invoice if the buyer pays within 10 days from the invoice date. Otherwise, the full invoice amount should be paid within 25 days from the invoice date.

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