Blue Corporation holds 70 percent of Black Company's voting common stock.On January 1,2003,Black paid $500,000 to acquire a building with a 10-year expected economic life.Black uses straight-line depreciation for all depreciable assets.On December 31,2008,Blue purchased the building from Black for $180,000.Blue reported income,excluding investment income from Black,of $140,000 and $162,000 for 2008 and 2009,respectively.Black reported net income of $30,000 and $45,000 for 2008 and 2009,respectively.
-Based on the preceding information,the amount to be reported as consolidated net income for 2009 will be:

Question

Quizplus · Accepted Answer

The Answer of Blue Corporation holds 70 percent of Black Company's voting common stock.On January 1,2003,Black paid $500,000 to acquire a building with a 10-year expected economic life.Black uses straight-line depreciation for all depreciable assets.On December 31,2008,Blue purchased the building from Black for $180,000.Blue reported income,excluding investment income from Black,of $140,000 and $162,000 for 2008 and 2009,respectively.Black reported net income of $30,000 and $45,000 for 2008 and 2009,respectively.
-Based on the preceding information,the amount to be reported as consolidated net income for 2009 will be:

Blue Corporation Holds 70 Percent of Black Company's Voting Common