P4-6

Diketahui
Acquisition price 53,000
% acquired 80%
Capital/Common stock 55,000
Other contributed capital 5,000
Retained earnings 1/1/2009 4,000
Retained earnings 1/1/2013 15,000
Increase in Retained Earnings 11,000

Investment in Scoba 8,800

Retained earnings 8,800

NCI 1/1/2009 13,250

NCI 2,200
NCI 1/1/2013 15,450

Allocation difference 80% 20%

Total Value
Parent NCI
Puchase price & Implied value 53,000 13,250 66,250
Less Book Value Equity
Capital/Common stock 44,000 11,000 55,000
Other contributed capital 4,000 1,000 5,000
Retained earnings 3,200 800 4,000
Total book value equity 51,200 12,800 64,000
Difference between IV & BV 1,800 450 2,250
Land (1,800) (450) (2,250)
Balance - - -

Eleminations
Account and Descriptions Plank Scoba
Debit Credit
Income Statement
Sales 105,000 50,000
Equity in Subsidiary Income 14,400 - 14,400
Total Revenue 119,400 50,000
Cost of Goods Sold 85,400 20,000
Other Expense 10,000 12,000
Total cost and Expense 95,400 32,000
Net Income 24,000 18,000
NCI
Net Income to Retained Earnings 24,000 18,000 14,400
Retained Earnings Statement
Retained Earnings 1/1 48,800 15,000 15,000
Net Income 24,000 18,000 14,400 -
Deviden Declared 10,000 8,000 6,400
Retained Earnings 31/12 62,800 25,000 29,400 6,400
Balance Sheet
Cash 42,000 22,000
Account Receivable 21,000 17,000 3,000
Inventory 15,000 8,000
Investment In Scoba Company 69,800 61,800
8,000
Land 52,000 48,000 2,250
Difference between IV & BV 2,250 2,250
Total Asset 199,800 95,000
Account Payable 12,000 6,000 3,000
Other Liabilities 5,000 4,000
Capital/common Stock 100,000 55,000 55,000
Other Contributed Capital 20,000 5,000 5,000
Retained Earnings 62,800 25,000 29,400 6,400
NCI 1/1 15,450
NCI 31/12
Total Liability & Equity 199,800 95,000 96,900 96,900

Elemination Journal
Capital Stock 55,000
Other Contributed Capital 5,000
Retained Earnings 15,000
Difference beween IV & BV 2,250
Investment in Scoba Company 61,800
NCI 15,450

Land 2250
Difference between IV & BV 2250

Equity in subsidiary income 14,400

Deviden Declared 6,400
Investment in Scoba 8,000

Account Payable 3,000

Account Recivable 3,000
 Consolidated
NCI
Balance

155,000
-
155,000
105,400
22,000
127,400
27,600
3,600 (3,600)
3,600 24,000

48,800
3,600 24,000
(1,600) 10,000
2,000 62,800
 64,000
35,000
23,000
-

102,250
-
224,250
15,000
9,000
100,000
20,000
2,000 62,800
15,450 -
17,450 17,450
17,450 224,250
-
P4-10
Diketahui
Acquisition price 250,000
% acquired 80%
Capital/Common stock 150,000
Other contributed capital 35,000
Retained earnings 1/1/2010 60,000

NCI 1/1/2010 62,500

Allocation difference 80% 20%

Total Value
Parent NCI
Puchase price & Implied value 250,000 62,500 312,500
Less Book Value Equity
Capital/Common stock 120,000 30,000 150,000
Other contributed capital 28,000 7,000 35,000
Retained earnings 48,000 12,000 60,000
Total book value equity 196,000 49,000 245,000
Difference between IV & BV 54,000 13,500 67,500
Goodwill (54,000) (13,500) (67,500)
Balance - - -

Eleminations
Account and Descriptions Poco Solo
Debit Credit
Income Statement
Sales 760,000 410,000
Equity in Subsidiary Income 164,000 - 164,000
Total Revenue 924,000 410,000
Cost of Goods Sold 410,000 125,000
Other Expense 100,000 80,000
Total cost and Expense 510,000 205,000
Net Income 414,000 205,000
NCI
Net Income to Retained Earnings 414,000 205,000 164,000
Retained Earnings Statement
Retained Earnings 1/1 50,000 60,000 60,000
Net Income 414,000 205,000 164,000 -
Deviden Declared 30,000 15,000 12,000
Retained Earnings 31/12 434,000 250,000 224,000 12,000
Balance Sheet
Cash 161,500 125,000
Inventory 210,000 195,000
Investment In Solo Company 402,000 - 250,000
152,000
Land 75,000 150,000 67,500
Difference between IV & BV 67,500 67,500
Total Asset 848,500 470,000
Account Payable 154,500 35,000
Capital/common Stock 200,000 150,000 150,000
Other Contributed Capital 60,000 35,000 35,000
Retained Earnings 434,000 250,000 224,000 12,000
NCI 1/1 62,500
NCI 31/12
Total Liability & Equity 848,500 470,000 544,000 544,000

Elemination Journal
Capital Stock 150,000
Other Contributed Capital 35,000
Retained Earnings 60,000
Difference beween IV & BV 67,500
Investment in Solo Company 250,000
NCI 62,500

Land 67,500
Difference between IV & BV 67,500

Equity in subsidiary income 164,000

Deviden Declared 12,000
Investment in Solo 152,000
NCI Consolidated
Balance

1,170,000
-
1,170,000
535,000
180,000
715,000
455,000
41,000 (41,000)
41,000 414,000

50,000
41,000 414,000
(3,000) 30,000
38,000 434,000

286,500
405,000
-

292,500
-
 984,000
189,500
200,000
60,000
38,000 434,000
62,500 -
100,500 100,500
100,500 984,000
-
P4-11
Diketahui
Acquisition price 450,000
% acquired 90%
Capital/Common stock 200,000
Other contributed capital 160,000
Retained earnings 1/1/2009 90,000
Retained earnings 1/1/2013 210,000
Increase in Retained Earnings 120,000

Investment in Scoba 108,000

Retained earnings 108,000

NCI 1/1/2009 50,000

NCI 12,000
NCI 1/1/2013 62,000

Allocation difference 90% 10%

Total Value
Parent NCI
Puchase price & Implied value 450,000 50,000 500,000
Less Book Value Equity
Capital/Common stock 180,000 20,000 200,000
Other contributed capital 144,000 16,000 160,000
Retained earnings 81,000 9,000 90,000
Total book value equity 405,000 45,000 450,000
Difference between IV & BV 45,000 5,000 50,000
Goodwill (45,000) (5,000) (50,000)
Balance - - -

Eleminations
Account and Descriptions Price Score
Debit Credit
Income Statement
Sales 1,420,000 500,000
Equity in Subsidiary Income 120,600 - 120,600
Interest Income 7,500 - 7,500
Total Revenue 1,548,100 500,000
Cost of Goods Sold 822,000 242,000
Operating Expense 250,500 124,000 7,500
Total cost and Expense 1,072,500 366,000
Net Income 475,600 134,000
NCI
Net Income to Retained Earnings 475,600 134,000 128,100 7,500
Retained Earnings Statement
Retained Earnings 1/1 795,000 210,000 210,000
Net Income 475,600 134,000 128,100 7,500
Deviden Declared 70,000 50,000 45,000
Retained Earnings 31/12 1,200,600 294,000 338,100 52,500
Balance Sheet
Cash 109,000 78,000
Accounts Receivable 166,000 94,000
Notes Receivable 75,000 - 75,000
Inventory 309,000 158,000
Investment In Score Company 633,600 - 558,000
75,600
Plant and Equipment 940,000 420,000
Land 160,000 70,000
Goodwill - - 50,000
Difference between IV & BV 50,000 50,000
Total Asset 2,392,600 820,000
Account Payable 132,000 46,000
Notes Payable 300,000 120,000 75,000
Capital/common Stock 500,000 200,000 200,000
Other Contributed Capital 260,000 160,000 160,000
Retained Earnings 1,200,600 294,000 338,100 52,500
NCI 1/1 62,000
NCI 31/12
Total Liability & Equity 2,392,600 820,000 873,100 873,100

Elemination Journal
Capital Stock 55,000
Other Contributed Capital 5,000
Retained Earnings 15,000
Difference beween IV & BV 2,250
Investment in Score Company 61,800
NCI 15,450

Land 2250
Difference between IV & BV 2250

Equity in subsidiary income 14,400

Deviden Declared 6,400
Investment in Score 8,000

Account Payable 3,000

Account Recivable 3,000
NCI Consolidated
Balance

1,920,000
-
-
1,920,000
1,064,000
367,000
1,431,000
489,000
13,400 (13,400)
13,400 475,600

795,000
13,400 475,600
(5,000) 70,000
 8,400 1,200,600

187,000
260,000
-
467,000
-

1,360,000
230,000
50,000
-
2,554,000
178,000
345,000
500,000
260,000
8,400 1,200,600
62,000 -
70,400 70,400
70,400 2,554,000
-
P4-6
Diketahui
Acquisition price 350,000
% acquired 85%
IV 411,765
BV 280,000 Capital/Common stock 100,000
Difference 131,765 Other contributed capital 40,000
Retained earnings 1/1/2009 140,000
280,000

Journal Entries
Investment in Sales Company 350,000
Cash 350,000

Investment in Sales Company 125,800

Equity Income 125,800

Cash 42,500
Investment in Sales Company 42,500

Journal Eliminations
Capital Stock 100,000
Other Contributed Capital 40,000
Retained Earnings 140,000
Difference beween IV & BV 131,765
Investment in Sales Company 350,000
NCI 61,765

Land 131,765
Difference between IV & BV 131,765

Allocation difference 85% 15%

Total Value
Parent NCI
Puchase price & Implied value 350,000 61,765 411,765
Less Book Value Equity
Capital/Common stock 85,000 15,000 100,000
Other contributed capital 34,000 6,000 40,000
Retained earnings 119,000 21,000 140,000
Total book value equity 238,000 42,000 280,000
Difference between IV & BV 105,412 26,353 131,765
Land (105,412) (26,353) (131,765)
Balance - - -
P4-7
Diketahui
Acquisition price 350,000
% acquired 85%
IV 411,765
BV 280,000 Capital/Common stock 100,000
Difference 131,765 Other contributed capital 40,000
Retained earnings 1/1/2009 140,000
280,000

Journal Entries
Investment in Sales Company 350,000
Cash 350,000

Investment in Sales Company 161,500

Equity Income 161,500

Cash 42,500
Investment in Sales Company 42,500

Journal Eliminations
Capital Stock 100,000
Other Contributed Capital 40,000
Retained Earnings 140,000
Difference beween IV & BV 131,765
Investment in Sales Company 350,000
NCI 61,765

Land 131,765
Difference between IV & BV 131,765

Allocation difference 85% 15%

Total Value
Parent NCI
Puchase price & Implied value 350,000 61,765 411,765
Less Book Value Equity
Capital/Common stock 85,000 15,000 100,000
Other contributed capital 34,000 6,000 40,000
Retained earnings 119,000 21,000 140,000
Total book value equity 238,000 42,000 280,000
Difference between IV & BV 105,412 26,353 131,765
Land (105,412) (26,353) (131,765)
Balance - - -