REFERENCE: Ref.05_10 Stark Company,a 90% Owned Subsidiary of Parker,Inc. ,Sold Land to Land

question 50

Multiple Choice

REFERENCE: Ref.05_10
Stark Company,a 90% owned subsidiary of Parker,Inc. ,sold land to Parker on May 1,2009,for $80,000.the land originally cost Stark $85,000.Stark reported net income of $200,000,$180,000,and $220,000 for 2009,2010,and 2011,respectively.Parker sold the land it purchased from Stark in 2009 for $92,000 in 2011.
-Which of the following will be included in a consolidation entry for 2010?

• A)Debit retained earnings for $5,000.
• B)Credit retained earnings for $5,000.
• C)Debit investment in subsidiary for $5,000.
• D)Credit investment in subsidiary for $5,000.
• E)Credit land for $5,000.

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Definitions:

Infectious Organisms

Microbes, such as bacteria, viruses, fungi, or parasites, that can cause disease or illness when transmitted between hosts.

Iodine Products

Products containing iodine, which may be used for their antiseptic properties or in medical imaging.

Anti-infection Agents

Substances that inhibit the growth of or kill infectious organisms such as bacteria, viruses, and fungi.

Sanitization

The process of cleaning and disinfecting a surface or environment to reduce the quantity of pathogens to safe levels.