On January 1,2012,Pauline Company acquired 90% of Stephen Company at a cost of $90,000.On January 1,2012,Stephen Company acquired 10% of Pauline Company at a cost of $10,000. On January 1,2012,the following data is available:
At December 31,2012,the following data is available:
Assuming the treasury stock method is used,what elimination entry is needed for the Investment in Pauline at December 31,2012?

Question

On January 1,2012,Pauline Company acquired 90% of Stephen Company at a cost of $90,000.On January 1,2012,Stephen Company acquired 10% of Pauline Company at a cost of $10,000. On January 1,2012,the following data is available:
 At December 31,2012,the following data is available:
 Assuming the treasury stock method is used,what elimination entry is needed for the Investment in Pauline at December 31,2012?

Quizplus · Accepted Answer

The Answer of On January 1,2012,Pauline Company acquired 90% of Stephen Company at a cost of $90,000.On January 1,2012,Stephen Company acquired 10% of Pauline Company at a cost of $10,000. On January 1,2012,the following data is available:
 At December 31,2012,the following data is available:
 Assuming the treasury stock method is used,what elimination entry is needed for the Investment in Pauline at December 31,2012?

On January 1,2012,Pauline Company Acquired 90% of Stephen Company at a Cost