On January 1,20X9,Peery Company acquired 100 percent of Standard Company's common shares at underlying book value.Peery uses the equity method in accounting for its ownership of Standard.On December 31,20X9,the trial balances of the two companies are as follows:

Required:
1.Prepare the consolidation entries needed as of December 31,20X9,to complete a consolidation worksheet.
2.Prepare a three-part consolidation worksheet as of December 31,20X9.

Question

On January 1,20X9,Peery Company acquired 100 percent of Standard Company's common shares at underlying book value.Peery uses the equity method in accounting for its ownership of Standard.On December 31,20X9,the trial balances of the two companies are as follows:
  
Required:
1.Prepare the consolidation entries needed as of December 31,20X9,to complete a consolidation worksheet.
2.Prepare a three-part consolidation worksheet as of December 31,20X9.

Quizplus · Accepted Answer

The Answer of On January 1,20X9,Peery Company acquired 100 percent of Standard Company's common shares at underlying book value.Peery uses the equity method in accounting for its ownership of Standard.On December 31,20X9,the trial balances of the two companies are as follows:
  
Required:
1.Prepare the consolidation entries needed as of December 31,20X9,to complete a consolidation worksheet.
2.Prepare a three-part consolidation worksheet as of December 31,20X9.

On January 1,20X9,Peery Company Acquired 100 Percent of Standard Company's