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On January 2,2011,Power Incorporated Paid $630,000 for a 90% Interest

Question 11

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On January 2,2011,Power Incorporated paid $630,000 for a 90% interest in Smallsen Company.Smallsen's equity at that time amounted to $600,000,and their book values for assets and liabilities recorded approximated their fair values.Smallsen did not issue any additional stock in 2011.At December 31,2011,the two companies' balance sheets are summarized as follows:
Power Incorporated and Subsidiary
Consolidated Balance Sheet Working Papers
at December 31,2011
On January 2,2011,Power Incorporated paid $630,000 for a 90% interest in Smallsen Company.Smallsen's equity at that time amounted to $600,000,and their book values for assets and liabilities recorded approximated their fair values.Smallsen did not issue any additional stock in 2011.At December 31,2011,the two companies' balance sheets are summarized as follows: Power Incorporated and Subsidiary Consolidated Balance Sheet Working Papers at December 31,2011 Required: Complete the consolidation worksheet for Power Incorporated and Subsidiary at December 31,2011. On January 2,2011,Power Incorporated paid $630,000 for a 90% interest in Smallsen Company.Smallsen's equity at that time amounted to $600,000,and their book values for assets and liabilities recorded approximated their fair values.Smallsen did not issue any additional stock in 2011.At December 31,2011,the two companies' balance sheets are summarized as follows: Power Incorporated and Subsidiary Consolidated Balance Sheet Working Papers at December 31,2011 Required: Complete the consolidation worksheet for Power Incorporated and Subsidiary at December 31,2011. Required: Complete the consolidation worksheet for Power Incorporated and Subsidiary at December 31,2011.

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