Ensley Company and Bac Company Have Separate Incomes of $140,000

question 33

Multiple Choice

Ensley Company and Bac Company have separate incomes of $140,000 and $240,000,respectively.They had intercompany purchases and sales of $40,000 and intercompany interest of $2,000.Consolidated net income is

• A) $422,000.
• B) $380,000.
• C) $338,000.
• D) $142,000.

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Definitions:

Rumination

The common practice of letting stressful thoughts run through your mind, over and over.

Stressful Thoughts

Thoughts or ideas that induce a state of stress, worry, or anxiety, often concerning future events or outcomes.

Hostility

It refers to feelings of anger, antagonism, or opposition towards others or situations.

Anger

An emotional response characterized by antagonism toward someone or something you feel has deliberately done you wrong.