A parent has a 90% interest in its subsidiary. The parent sold land at a gain to the subsidiary in the current year. The subsidiary still holds the land. How does this transaction affect equity in net income and noncontrolling interest in net income for the current year, assuming the parent uses the complete equity method to report its investment on its own books?

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The Answer of A parent has a 90% interest in its subsidiary. The parent sold land at a gain to the subsidiary in the current year. The subsidiary still holds the land. How does this transaction affect equity in net income and noncontrolling interest in net income for the current year, assuming the parent uses the complete equity method to report its investment on its own books?

A Parent Has a 90% Interest in Its Subsidiary