Paice Corporation Owns 80% of the Voting Common Stock of Accardi

question 14

Essay

Paice Corporation owns 80% of the voting common stock of Accardi Corporation.Paice owns 60% of the voting common stock of Badger Corporation.Accardi owns 20% of the voting common stock of Badger.There are no cost/book value/fair value differentials to consider.The separate net incomes (excluding investment income)of these affiliated companies for 2014 are:
Required:
Calculate controlling interest share of consolidated net income and noncontrolling interest shares for Paice Corporation and Subsidiaries for 2014.

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Definitions:

Kahneman's Model

A psychological theory attributed to Daniel Kahneman that distinguishes between two modes of thought: fast, intuitive thinking (System 1) and slower, more rational thinking (System 2).

Mental Resources

Cognitive capacities and energies available to an individual for processing information and solving problems.

Treisman's Attenuation Theory

Treisman's Attenuation Theory is a model of selective attention that proposes a weakened strength of unattended messages rather than a complete blockage, allowing for meaningful stimuli to be processed at a lower priority.

Cocktail Party Effect

The ability to focus one's auditory attention on a particular stimulus while filtering out a range of other stimuli, as in a noisy environment.