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Norek Corp

question 17

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Norek Corp.owned 70% of the voting common stock of Thelma Co.On January 2, 2017, Thelma sold a parcel of land to Norek.The land had a book value of $32,000 and was sold to Norek for $45,000.Thelma's reported net income for 2017 was $119,000.Assuming there are no excess amortizations associated with the consolidation, and no other intra-entity asset transfers, what is net income attributable to the noncontrolling interest?


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Privity Statutes

Laws that dictate the relationship necessary between parties in order to sue or be sued under a contract.

Warranty Cases

Legal disputes that arise when there is a breach of express or implied warranties, guaranteeing the condition or quality of a product or service.

Product Defect

A flaw or deficiency in a product that makes it unsafe or unsuitable for its intended use.

Implied Warranty

A legal term for a guarantee that the goods or services sold meet certain quality standards, even though not explicitly stated.

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