Pirate Corporation acquired 85 percent of Ship Company's voting shares of stock in 20X7.During 20X8,Pirate purchased 50,000 circuit boards for $15 each and sold 28,000 of them to Ship for $20 each.Ship sold all of the units to unrelated entities prior to December 31,20X8,for $30 each.Both companies use perpetual inventory systems.
Which worksheet consolidating entry is needed in preparing consolidated financial statements for 20X8 to remove all effects of the intercompany sale?

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The Answer of Pirate Corporation acquired 85 percent of Ship Company's voting shares of stock in 20X7.During 20X8,Pirate purchased 50,000 circuit boards for $15 each and sold 28,000 of them to Ship for $20 each.Ship sold all of the units to unrelated entities prior to December 31,20X8,for $30 each.Both companies use perpetual inventory systems.
Which worksheet consolidating entry is needed in preparing consolidated financial statements for 20X8 to remove all effects of the intercompany sale?

Pirate Corporation Acquired 85 Percent of Ship Company's Voting Shares