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P Ltd Lends $200,000 to Its Subsidiary S Ltd

Question 32

Multiple Choice

P Ltd lends $200,000 to its subsidiary S Ltd.At the end of the year S Ltd has paid interest of $18,000 and owes a further $2,000 (assume a tax rate of 30%) The required consolidation entry is:


A) P Ltd lends $200,000 to its subsidiary S Ltd.At the end of the year S Ltd has paid interest of $18,000 and owes a further $2,000 (assume a tax rate of 30%) The required consolidation entry is: A) B) C) D)
B) P Ltd lends $200,000 to its subsidiary S Ltd.At the end of the year S Ltd has paid interest of $18,000 and owes a further $2,000 (assume a tax rate of 30%) The required consolidation entry is: A) B) C) D)
C) P Ltd lends $200,000 to its subsidiary S Ltd.At the end of the year S Ltd has paid interest of $18,000 and owes a further $2,000 (assume a tax rate of 30%) The required consolidation entry is: A) B) C) D)
D) P Ltd lends $200,000 to its subsidiary S Ltd.At the end of the year S Ltd has paid interest of $18,000 and owes a further $2,000 (assume a tax rate of 30%) The required consolidation entry is: A) B) C) D)

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