Use the Following Information to Answer the Question(s)below

question 39

Multiple Choice

Use the following information to answer the question(s) below.
Pew Corporation acquired 80% ownership of Sordid Incorporated,at a time when Pew's investment cost was equal to 80% of Sordid's book value.At the time of acquisition,the book values and fair values of Sordid's assets and liabilities were equal.Pew uses the equity method.During 2011,Pew sold goods to Sordid for $160,000 making a gross profit percentage of 20%.Half of these goods remained unsold in Sordid's inventory at the end of the year.Income statement information for Pew and Sordid for 2011 were as follows:

-The 2011 consolidated income statement showed cost of goods sold of

• A)$500,000.
• B)$516,000.
• C)$532,000.
• D)$660,000.

---

Definitions:

Personality

A psychological characteristic or blend of characteristics that make a person unique.

Employment Selection

The process of evaluating and choosing the most suitable candidate for a job position.

Adult Career Concerns Inventory

A self-assessment tool designed to help individuals understand their career-related concerns and challenges at different stages of adult life.

Attitudinal Readiness

The state of being mentally prepared and willing to adopt certain attitudes or behaviors, often in the context of change or learning.