Chase Incorporated sold $260,000 of its inventory to Bartlett Company during 2021 for $400,000. Bartlett sold $300,000 of this merchandise in 2021 with the remainder to be disposed of during 2022. Assume Chase owns 35% of Bartlett and accounts for its investment using the equity method.What journal entry will be recorded at the end of 2021 to defer the recognition of the investor's share of the intra-entity gross profits?

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The Answer of Chase Incorporated sold $260,000 of its inventory to Bartlett Company during 2021 for $400,000. Bartlett sold $300,000 of this merchandise in 2021 with the remainder to be disposed of during 2022. Assume Chase owns 35% of Bartlett and accounts for its investment using the equity method.What journal entry will be recorded at the end of 2021 to defer the recognition of the investor's share of the intra-entity gross profits?

Chase Incorporated Sold $260,000 of Its Inventory to Bartlett Company