Colassal Company paid $100,000 for all the common stock of Glass Company. Glass Company borrowed $20,000 from Colassal Company by signing a note payable. The following information is available:
Required:
Prepare the elimination entries.

Question

Colassal Company paid $100,000 for all the common stock of Glass Company. Glass Company borrowed $20,000 from Colassal Company by signing a note payable. The following information is available:
  Required:
Prepare the elimination entries.

Quizplus · Accepted Answer

The Answer of Colassal Company paid $100,000 for all the common stock of Glass Company. Glass Company borrowed $20,000 from Colassal Company by signing a note payable. The following information is available:
  Required:
Prepare the elimination entries.

Colassal Company Paid $100,000 for All the Common Stock of Glass