REFERENCE: Ref.07_18 Patton's operating income excludes income from the investment in Stevens,but includes $150,000 of unrealized gains on intercompany transfers of inventory.Patton uses the initial value method to account for the investment in Stevens.
-Assume Patton owns 90 percent of the voting stock of Stevens and files a consolidated income tax return.What amount of income taxes would be paid?

Question

REFERENCE: Ref.07_18  Patton's operating income excludes income from the investment in Stevens,but includes $150,000 of unrealized gains on intercompany transfers of inventory.Patton uses the initial value method to account for the investment in Stevens.
-Assume Patton owns 90 percent of the voting stock of Stevens and files a consolidated income tax return.What amount of income taxes would be paid?

Quizplus · Accepted Answer

The Answer of REFERENCE: Ref.07_18  Patton's operating income excludes income from the investment in Stevens,but includes $150,000 of unrealized gains on intercompany transfers of inventory.Patton uses the initial value method to account for the investment in Stevens.
-Assume Patton owns 90 percent of the voting stock of Stevens and files a consolidated income tax return.What amount of income taxes would be paid?