Company P Industries purchased a 70% interest in Company S on January 1, 2016, and prepared the following determination and distribution of excess schedule:

Since the purchase, there have been the following intercompany transactions:

Required:

Complete the following schedule to adjust the retained earnings of the non-controlling and controlling interest on the December 31, 2020, worksheet for a consolidated balance sheet only.Company P uses the simple equity method to account for its investment.

Question

Company P Industries purchased a 70% interest in Company S on January 1, 2016, and prepared the following determination and distribution of excess schedule:
​
​
  Since the purchase, there have been the following intercompany transactions:
​
​
  Required:
​
Complete the following schedule to adjust the retained earnings of the non-controlling and controlling interest on the December 31, 2020, worksheet for a consolidated balance sheet only.Company P uses the simple equity method to account for its investment.
​

Quizplus · Accepted Answer

The Answer of Company P Industries purchased a 70% interest in Company S on January 1, 2016, and prepared the following determination and distribution of excess schedule:
​
​
  Since the purchase, there have been the following intercompany transactions:
​
​
  Required:
​
Complete the following schedule to adjust the retained earnings of the non-controlling and controlling interest on the December 31, 2020, worksheet for a consolidated balance sheet only.Company P uses the simple equity method to account for its investment.
​

Company P Industries Purchased a 70% Interest in Company S