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Business, 28.10.2020 16:40 JvGaming2001
E 5-8 Consolidated income statement with downstream sales The separate incomes (which do not include investment income) of Pat Corporation and Sal Corporation, its 80 percent-owned subsidiary, for 2011 were determined as follows (in thousands): PatSal Sales$1,600$400 Less: Cost of sales800160 Gross profit800240 Other expenses400120 Separate incomes$ 400$120 During 2011, Pat sold merchandise that cost $80,000 to Sal for $160,000, and at December 31, 2011, half of these inventory items remained unsold by Sal. REQUIRED: Prepare a consolidated income statement for Pat Corporation and Subsidiary for the year ended December 31, 2011.
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E 5-8 Consolidated income statement with downstream sales The separate incomes (which do not include...
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