On January 2, 20Y4, Destiny Company acquired 42% of the outstanding stock of Emerald Company for $350,000. For the year ended December 31, 20Y4 Destiny Company earned income of $200,000 and paid dividends of $25,000. On January 31, 20Y5, Destiny Company sold all of its investment in Emerald Company stock for $400,000. Journalize the entries for Destiny Company for the purchase of the stock, the share of Emerald income, the dividends received from Emerald Company, and the sale of the Emerald Company stock.

Q: Patricia purchased a home on January 1, 2017 for $1,270,000 by making a down payment of $100,000 and…

A: A deduction is an expense that can be subtracted from a taxpayer's gross income in order to reduce…

Q: E13.2 (LO 1) Excel (Accounts and Notes Payable) The following are selected 2020 transactions of…

A: The interest bearing note carries interest rate and the interest is paid as per the interest rate on…

Q: Mitchell Corporation prepared the following reconciliation for 2021, its first year of operations:…

A: Answer:-  Income tax expense:- A liability owned by either a company or an individual, income tax…

Q: The marketing department of Jessi Corporation has submitted the following sales forecast for the…

A: The budget is prepared to estimate the costs for the period. The sales budget is prepared to…

Q: Dried Fruit Corp. has had a valid S Corp election in effect at all times since its incorporation.…

A: Gain or loss which are resulted from the transaction depends upon the give and take effect as the…

Q: The following book and fair values were available for Westmont Company as of March 1. Book Value…

A: Acquisition is the scenario where one company takes over the business of another company. This means…

Q: George Clausen (age 48) is employed by Kline Company and is paid an annual salary of $42,120. He has…

A: Payroll taxes are defined as the amounts collected by the government or revenue collection authority…

Q: A company began January with 6,000 units of its principal product. The cost of each unit is $8.…

A: Periodic inventory system is system where the count of inventory is done on periodic basis. Thus the…

Q: A building is acquired on January 1 at a cost of $940,000 with an estimated useful life of ten years…

A: Depreciation is considered an expense charge on the value of the Asset. It can be calculated by…

Q: Solomon Hats Corporation manufactures three different models of hats: Vogue, Beauty, and Glamour.…

A: The overhead allocation is based on a predetermined overhead rate. The predetermined overhead rate…

Q: Jolly Bakers incurred the following costs in 2022 at two different levels of production: Materials -…

A: The cost of a product refers to the total amount of expenses incurred to produce or acquire a…

Q: On July 1st, Dried Fruit Corp. distributed $32,000 to Raisin and $64,000 to Prune. How much gain…

A: Given Dried fruit Corp distributed $ 32,000 to Raisin. Thus share of income he received from…

Q: Fans Company has two service departments — product design and engineering support, and two…

A: Cost allocation is the process of identifying, accumulating and assigning costs to specific cost…

Q: Barry and his wife Mary have accumulated over $4 million during their 45 years of marriage. They…

A: Gift tax is a tax on the transfer of property by one individual to another while receiving nothing,…

Q: The debits to Work in Process—Assembly Department for April, together with data concerning…

A: In Weighted Average Method, Equivalent Units Of Productions Includes The Units Completed And…

Q: On the first day of the fiscal year, a company issues a $400,000, 6% 5-year bond that pays…

A: If bond issued at amount which is less than the face value then we can say that bond is issued at…

Q: . Regine, Inc. owns 500 ordinary shares of Velasquez Company which has several hundred thousand…

A: Right refers to a privilege given to existing shareholders to purchase additional shares of a…

Q: Blue Spruce Corporation is a public company that manufactures farm implements, such as tractors,…

A: When the assets current market value is different from the book value of the assets, the assets are…

Q: The following information relates to Molly Mae Co. for the year 2020. Owner's Capital, January 1,…

A: INCOMESTATEMENT Income Statement is one of the Important Financial Statement of the Company. Income…

Q: Prepare the journal entry, if any, to record the impairment at December 31, 2023, assuming that the…

A: Journal Entry is the primary step to record the transaction in the books of accounts. The increase…

Q: The amount of the total office expenses that should be allocated to Grinding for the current period…

A: An organization having more than one department follows departmental costing. Cost related to each…

Q: Which of the following is true regarding Social Security benefits? a.Up to 100 percent of S

A: Social Security benefits are a government-administered retirement, disability, and survivor benefit…

Q: Vall Book Mart sells books and other supplies to students in a state where the sales tax rate is 8…

A: Net income is the amount of income earned by the entity after deducting the costs from the revenues.…

Q: Absorption Costing Income Statement On June 30, the end of the first month of operations, Tudor…

A: Under absorption costing system  fixed cost are allocate to each production unit where as under…

Q: Following is a recent Tangent press release: MINNEAPOLIS, March 12, 2020 /PRNewswire/—The board of…

A: Journal entries are the primary reporting of the business transactions in the books of accounts.…

Q: Excelsior Corporation has the following headings on its December 31, 2019 Balance Sheet: Total…

A: The working is computed by deducting the total current liabilities from the total current asset.…

Q: Bridgeport Corporation purchased equipment costing $117,600 on January 1, 2021. At that time the…

A: Depreciation expense is the non-cash expense which is charged on the non-current assets. It is…

Q: ructions: Provide the journal entry where bonds were sold at a premium. Candlestick Inc. sold…

A: Bonds are sources of the long term finance for the companies but companies are paid coupon payment…

Q: Panamint Systems Corporation is estimating activity costs associated with producing disk drives,…

A: Activity based cost is the technique in which the cost is divided using the appropriate cost…

Q: he Alcatel has a tax rate of 30%. The company can raise debt at a 12% interest rate and the last…

A: Weighted average cost of capital is weighted cost of debt and weighted cost of equity and this…

Q: rosewood company made a loan of $12,600 to one of the company's employees on april 1, year 1. the…

A: The interest revenue is the revenue earned during the period. The accrued interest revenue is the…

Q: The following person is not required to file income tax returns. a. A sole trader b. An individual…

A: Tax is a mandatory financial charge that is imposed on individuals, businesses, and organizations by…

Q: a corporation whose only source of income is rental income will not be subject to the personal…

A: The Internal Revenue Agency (IRS) levies a tax known as the personal holding company penalty tax on…

Q: Panamint Systems Corporation is estimating activity costs associated with producing disk drives,…

A: Activity-based costing (ABC): It is a costing method in which overhead and indirect costs are…

Q: 13.3 (LO 1) (Compensated Absences) Broderick Company began operations on January 2, 2019. It employs…

A: Paid leaves are the benefit offered by the employer to its employees. The paid leaves arise when an…

Q: On March 6, Ayayai Company returned $80,500 of the merchandise purchased on March 2. The cost of the…

A: There are two types of discount given by seller one is trade discount other one is cash discount.…

Q: Halifax Manufacturing allows its customers to return merchandise for any reason up to 90 days after…

A: Adjusting entries are accounting entries that are made at the end of an accounting period to update…

Q: property

A: A budget is a forecast of revenue and expenses for a certain future period of time that is generally…

Q: 3. Complete the below grid. Submit your answers in a grid/table. Sales Turnover Average Inventory…

A: Ratio analysis is a tool to assess the performance and position of the firm by determining various…

Q: MCO Leather manufactures leather purses. Each purse requires 2 pounds of direct materials at a cost…

A: A budget is a forecast of revenue and expenses for a certain future period of time that is generally…

Q: Then the profit of PT Caltex is....

A: Given in the question that the tax rate is 30% The profit for the PT Caltex company is to computed…

Q: O. On July 1, 2020, Jude Company purchased 10,000 shares of Rigby Company ordinary shares for…

A: Investment Valuation for acquisition of share of a company shall be recorded at the cost of…

Q: Information on Chicago Crafters direct materials costs follows: Quantities of alloy purchased and…

A: The variance is calculated as difference between actual and standard cost. The materials variance is…

Q: Dont uplode any image in answer   Tanner-UNF Corporation acquired as a long-term investment $250…

A: A journal entry is a record in accounting that captures a business transaction by showing the debit…

Q: A company began January with 6,000 units of its principal product. The cost of each unit is $8.…

A: Using average method, the unit cost is calculated as total cost divided by the number of units.…

Q: On January 1, 2021, Pride, Inc. acquired 80% of the outstanding voting common stock of Strong Corp.…

A: The consolidated financial statement are the statement prepared by the parent company to show the…

Q: DATE 20X1 April 1 Purchased camera film on credit from Camera & Film Products, Invoice 825, $1,015,…

A:

Q: Following are accounts and year-end adjusted balances of Cruz Company as of December 31. Number…

A: Preparation of closing entries is a method used by the business entity to close its temporary…

Q: Baxter Company reported a net loss of $16,214 for the year ended December 31. During the year,…

A: Cash flow from operating activities indicates the cash inflow or outflow transactions related to the…

Q: Your answer is partially correct Prepare the entry to record payment of the note at maturity (Credit…

A: Note payable means the instrument which is issued by company acknowledging the debt due by company…

Consolidation

Consolidation in general examination implies an asset oscillating between well-defined methods of trading status. Consolidation is commonly known as market indecisiveness, which completes when the asset's values move forward or backward the trading structure.