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NCI in NA of Soda Company Investment in Soda Company Cost of goods sold 3,480 8,120 11,600 NCI in NA of Soda Company Investment in Soda Company Inventory OOO OOO OOO 2,400 $ 5,600 8,000 X 122,000 Sales Cost of goods sold Inventory 107,600 14.400 % Answer is not complete. POP CORPORATION & SUBSIDIARY Consolidated Financial Statement Worksheet For 20x3 Consolidation Entries Pop Corp. Soda Co. DR CR Consolidated Income Statement Sales $ $ 140,000 $ 90,000 $ 312000 11.600 262,000 11,600 188,000 (25,000) (18,000) 37.000 81,800 (20.000) (7.200) 232,800 (45.000) (25,200) Other Income Less: COGS Less: Depreciation Expense Less: Interest Expense Less: Amortization Expense Income from Soda Company Consolidated Net Income NCI in Net Income Controlling Interest in Net Income Statement of Retained Earnings Beginning balance 10.420 429,020 10.420 496,620 194,600 127,000 0 429,020 $ 194,600 $ 127,000 $ 0 $ 496.620 $ $ Net income 120,900 429,020 (32,000) 517.920 62,000 194,600 (17.000) 239.600 127.000 182.900 496.620 (49,000) 630,520 $ Less: Dividends declared Ending Balance Balance Sheet Cash and Accounts Receivable $ $ 127,000 $ 0 $ $ $ 17.400 167,000 23,600 37.000 Inventory 41,000 167.000 37.000 3 $ 37,000 17,400 167,000 82,000 360,000 (142,000) 117,100 23,600 37,000 42,000 262,000 (90,000) 41,000 167,000 124,000 622,000 (232,000) 117,100 Balance Sheet Cash and Accounts Receivable Inventory Land Buildings & Equipment Less: Accumulated Depreciation Investment in Soda Company Patents Total Assets Accounts Payable Bonds Payable Bonds Premium Common Stock Retained Earnings NCI in NA of Soda Company Total Liabilities & Equity $ 0 $ 37,000 $ 601,500 94,400 234,180 $ $ 274,600 37,000 90,000 1,600 839,100 131,400 324,180 1,600 122,000 517,920 122.000 517,920 $ 968,500 $ 128,600 $ 0 $ 0 $ 1,097,100 2. Award: 25.00 points Pop Corporation acquired 70 percent of Soda Company's voting common shares on January 1, 20X2, for $114,800. At that date, the noncontrolling interest had a fair value of $49,200 and Soda reported $70,000 of common stock outstanding and retained earnings of $25,000. The differential is assigned to buildings and equipment, which had a fair value $22,000 higher than book value and a remaining 10-year life, and to patents, which had a fair value $47,000 higher than book value and a remaining life of five years at the date of the business combination. Trial balances for the companies as of December 31, 20X3, are as follows: Pop Corporation Soda Company Itom Dobit rodit Dobit rodit IL TUTTI follows: Debit C $ Pop Corporation Credit 17,400 167,000 82,000 360,000 117,100 188,000 Soda Company Debit Credit $ 23,600 37,000 42,000 262,000 Item Cash & Accounts Receivable Inventory Land Buildings & Equipment Investment in Soda Company Cost of Goods Sold Depreciation Expense Interest Expense Dividends Declared Accumulated Depreciation Accounts Payable Bonds Payable Bond Premium Common Stock Retained Earnings Sales Other Income Income from Soda Company 81,800 20,000 7,200 17,000 18,000 32,000 $ 142,000 94,400 234,180 $ 90,000 37,000 90,000 1,600 70,000 62,000 140,000 122,000 129.900 262,000 11,600 10,420 $1,006,500 $1,006,500 $490,600 $490,600 On December 31, 20X2, Soda purchased inventory for $30,000 and sold it to Pop NCI in NA of Soda Company Investment in Soda Company Cost of goods sold 3,480 8,120 11,600 NCI in NA of Soda Company Investment in Soda Company Inventory OOO OOO OOO 2,400 $ 5,600 8,000 X 122,000 Sales Cost of goods sold Inventory 107,600 14.400 % Answer is not complete. POP CORPORATION & SUBSIDIARY Consolidated Financial Statement Worksheet For 20x3 Consolidation Entries Pop Corp. Soda Co. DR CR Consolidated Income Statement Sales $ $ 140,000 $ 90,000 $ 312000 11.600 262,000 11,600 188,000 (25,000) (18,000) 37.000 81,800 (20.000) (7.200) 232,800 (45.000) (25,200) Other Income Less: COGS Less: Depreciation Expense Less: Interest Expense Less: Amortization Expense Income from Soda Company Consolidated Net Income NCI in Net Income Controlling Interest in Net Income Statement of Retained Earnings Beginning balance 10.420 429,020 10.420 496,620 194,600 127,000 0 429,020 $ 194,600 $ 127,000 $ 0 $ 496.620 $ $ Net income 120,900 429,020 (32,000) 517.920 62,000 194,600 (17.000) 239.600 127.000 182.900 496.620 (49,000) 630,520 $ Less: Dividends declared Ending Balance Balance Sheet Cash and Accounts Receivable $ $ 127,000 $ 0 $ $ $ 17.400 167,000 23,600 37.000 Inventory 41,000 167.000 37.000 3 $ 37,000 17,400 167,000 82,000 360,000 (142,000) 117,100 23,600 37,000 42,000 262,000 (90,000) 41,000 167,000 124,000 622,000 (232,000) 117,100 Balance Sheet Cash and Accounts Receivable Inventory Land Buildings & Equipment Less: Accumulated Depreciation Investment in Soda Company Patents Total Assets Accounts Payable Bonds Payable Bonds Premium Common Stock Retained Earnings NCI in NA of Soda Company Total Liabilities & Equity $ 0 $ 37,000 $ 601,500 94,400 234,180 $ $ 274,600 37,000 90,000 1,600 839,100 131,400 324,180 1,600 122,000 517,920 122.000 517,920 $ 968,500 $ 128,600 $ 0 $ 0 $ 1,097,100 2. Award: 25.00 points Pop Corporation acquired 70 percent of Soda Company's voting common shares on January 1, 20X2, for $114,800. At that date, the noncontrolling interest had a fair value of $49,200 and Soda reported $70,000 of common stock outstanding and retained earnings of $25,000. The differential is assigned to buildings and equipment, which had a fair value $22,000 higher than book value and a remaining 10-year life, and to patents, which had a fair value $47,000 higher than book value and a remaining life of five years at the date of the business combination. Trial balances for the companies as of December 31, 20X3, are as follows: Pop Corporation Soda Company Itom Dobit rodit Dobit rodit IL TUTTI follows: Debit C $ Pop Corporation Credit 17,400 167,000 82,000 360,000 117,100 188,000 Soda Company Debit Credit $ 23,600 37,000 42,000 262,000 Item Cash & Accounts Receivable Inventory Land Buildings & Equipment Investment in Soda Company Cost of Goods Sold Depreciation Expense Interest Expense Dividends Declared Accumulated Depreciation Accounts Payable Bonds Payable Bond Premium Common Stock Retained Earnings Sales Other Income Income from Soda Company 81,800 20,000 7,200 17,000 18,000 32,000 $ 142,000 94,400 234,180 $ 90,000 37,000 90,000 1,600 70,000 62,000 140,000 122,000 129.900 262,000 11,600 10,420 $1,006,500 $1,006,500 $490,600 $490,600 On December 31, 20X2, Soda purchased inventory for $30,000 and sold it to Pop

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