Assuming the Same Facts as for Question 12 but That $\begin{array} { l r } \text { Dr. Opening Retained Earnings } & \$ 900,000 \\\text { Cr. Gain on Sale } & \$ 900,000\end{array}$

Multiple Choice

Assuming the same facts as for Question 12 but that two years later S sold the land outside the group for $1 200 000,the consolidation journal entry required would be (ignoring tax effects) :

A) $\begin{array} { l r } \text { Dr. Opening Retained Earnings } & \$ 900,000 \\\text { Cr. Gain on Sale } & \$ 900,000\end{array}$
B) $\begin{array} { l r } \text { Dr. Opening Retained Earnings } & \$ 1,100,000 \\\text { Cr. Gain on Sale } & \$ 1,100,000\end{array}$
C) $\begin{array} { l r } \text { Dr. Opening Retained Earnings } & \$ 200,000 \\\text { Cr. Gain on Sale } & \$ 200,000\end{array}$
D) no entry required