Solved

During the Year Ended 30 June 20X7 a Subsidiary Entity

Question 26

Essay

During the year ended 30 June 20X7 a subsidiary entity sold inventory to a parent entity for $30 000. The inventory had previously cost the subsidiary entity $24 000. By 30 June 20X7 the parent entity had sold 75% of the inventory to a party outside the group. The company tax rate is 30%. The adjustment entry in the consolidation worksheet at 30 June 20X8 is:
During the year ended 30 June 20X7 a subsidiary entity sold inventory to a parent entity for $30 000. The inventory had previously cost the subsidiary entity $24 000. By 30 June 20X7 the parent entity had sold 75% of the inventory to a party outside the group. The company tax rate is 30%. The adjustment entry in the consolidation worksheet at 30 June 20X8 is:

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions

Q9: Angelo Limited sold inventory to its parent

Q13: A subsidiary sold inventory to a parent

Q15: A consolidation adjustment entry made to eliminate

Q19: In May 20X7, a parent entity sold

Q20: A subsidiary entity sold inventory to a

Q20: A parent entity group sold a depreciable

Q23: The test indicating that an intragroup business

Q24: Equipment costing $10 000 was sold by

Q25: IFRS 10 Consolidated Financial Statements, requires that

Q27: During the year ended 30 June 20X7,