REFERENCE: Ref.05_14
On January 1,2009,Musial Corp.sold equipment to Matin Inc.(a wholly-owned subsidiary)for $168,000 in cash.The equipment had originally cost $140,000 but had a book value of only $98,000 when transferred.On that date,the equipment had a five-year remaining life.Depreciation expense was calculated using the straight-line method.
Musial earned $308,000 in net income in 2009 (not including any investment income)while Matin reported $126,000.Assume there is no amortization related to the original investment.
-What is consolidated net income for 2009?

Question

Quizplus · Accepted Answer

The Answer of REFERENCE: Ref.05_14
On January 1,2009,Musial Corp.sold equipment to Matin Inc.(a wholly-owned subsidiary)for $168,000 in cash.The equipment had originally cost $140,000 but had a book value of only $98,000 when transferred.On that date,the equipment had a five-year remaining life.Depreciation expense was calculated using the straight-line method.
Musial earned $308,000 in net income in 2009 (not including any investment income)while Matin reported $126,000.Assume there is no amortization related to the original investment.
-What is consolidated net income for 2009?

REFERENCE: Ref.05_14 On January 1,2009,Musial Corp.sold Equipment to Matin Inc.(a Wholly-Owned Subsidiary)for