Gargiulo Company, a 90% Owned Subsidiary of Posito Corporation, Sells

question 81

Multiple Choice

Gargiulo Company, a 90% owned subsidiary of Posito Corporation, sells inventory to Posito at a 25% profit on selling price. The following data are available pertaining to intra-entity purchases. Gargiulo was acquired on January 1, 2010.

Assume the equity method is used. The following data are available pertaining to Gargiulo's income and dividends.


For consolidation purposes, what amount would be debited to cost of goods sold for the 2011 consolidation worksheet with regard to the unrealized gross profit of the 2011 intra-entity transfer of merchandise?

• A) $1,000.
• B) $800.
• C) $3,000.
• D) $2,400.
• E) $900.

Understand the importance of beta oxidation in the formation of acetyl CoA from fatty acids.

Describe the sequence of events and the metabolic pathways involved in the use of fatty acids, glucose, and amino acids to generate ATP.

Enumerate the metabolic reactions involved in the conversion of non-carbohydrate molecules to glucose.

Understand the principles and purposes of client-centered therapy.

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Definitions:

Net Present Value

A valuation method that calculates the worth of a future stream of cash flows by discounting them back to their present value.

IRR

Internal Rate of Return; a financial metric used to estimate the profitability of potential investments, calculating an annual growth rate.

Profitability Index

A fiscal indicator that evaluates an investment's comparative profitability by calculating the ratio of the present value of future cash inflows to the upfront cost of the investment.

Present Value

The immediate worth of a future financial amount or sequences of cash flows, using a specified rate of return for calculation.