During the current year, a parent sold inventory priced at $800,000 to its subsidiary, and the parent’s profits on these sales amounted to $60,000. . Here is what the parent and subsidiary report for total sales, cost of goods sold, and ending inventory at year-end (for total sales between the parent and subsidiary and to outside customers):

Parent’s Books Subsidiary’s Books

Inventory $ 300,000 $ 150,000

Sales revenue 5,000,000 3,500,000

Cost of goods sold 4,000,000 2,700,000

At what amounts should the year’s consolidated financial statements report these three balances?

Inventory Sales, Revenue, Cost of Goods Sold

a. $450,000 $8,500,000 $6,700,000
b. $450,000 $7,700,000 $5,900,000
c. $390,000 $7,700,000 $5,900,000
d. $150,000 $3,500,000 $1,900,000

What cylinder head operation is the technician performing in this figure?

Eliminating entries (including goodwill impairment) and worksheets for various years on january 1, 2013, porter company purchased an 80% interest in the capital stock of salem company for$850,000. at that time, salem company had capital stock of $550,000 and retained earnings of $80,000.differences between the fair value and the book value of the identifiable assets of salem company were asfollows: fair value in excess of book valueequipment$130,000land65,000inventory40,000the book values of all other assets and liabilities of salem company were equal to their fair values onjanuary 1, 2013. the equipment had a remaining life of five years on january 1, 2013. the inventory was sold in2013.salem company’s net income and dividends declared in 2013 and 2014 were as follows: year 2013 net income of $100,000; dividends declared of $25,000year 2014 net income of $110,000; dividends declared of $35,000required: a.prepare a computation and allocation schedule for the difference between book value of equity acquired andthe value implied by the purchase price.b.present the eliminating/adjusting entries needed on the consolidated worksheet for the year endeddecember 31, 2013. (it is not necessary to prepare the worksheet.)lo6lo1

Is exploiting a distinctive competence or improving efficiency for competitive advantage. (a) cooptation (b) coalition (c) competitive intelligence (d) competitive aggression (e) smoothing