The controlling interest (attributable to the shareholders of Jay) in Jay's 2019 Consolidated Net Income would be:

Question

Quizplus · Accepted Answer

The controlling interest is calculated as the parent company's ownership percentage multiplied by the consolidated net income. In this case, Jay owns 80% of Jay's, so the controlling interest is 80% x $45,000 = $36,000. However, the question asks for the controlling interest attributable to the shareholders of Jay, which means we need to subtract the non-controlling interest. The non-controlling interest is 20% x $45,000 = $9,000. Therefore, the controlling interest attributable to the shareholders of Jay is $36,000 - $9,000 = $27,000.

The Controlling Interest (Attributable to the Shareholders of Jay) in Jay's