Strayten Corp

question 25

Essay

Strayten Corp. is a wholly owned subsidiary of Quint Inc. Quint decided to use the initial value method to account for this investment. During 2013, Strayten sold Quint goods which had cost $48,000. The selling price was $64,000. Quint still had one-eighth of the goods purchased from Strayten on hand at the end of 2013.
Required:
Prepare Consolidation Entry *G, which would have to be recorded at the end of 2013.

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Definitions:

Green Market

Markets focused on selling environmentally friendly products and services that are supposed to be less harmful to the planet.

Organically-grown Produce

Fruits and vegetables cultivated without the use of synthetic pesticides, fertilizers, or genetically modified organisms (GMOs).

Grass-fed Beef

Beef from cows that have been fed only grass and forage throughout their lives, as opposed to grain-fed or conventionally raised counterparts.

Global Retailer

A retail company that operates outlets in multiple countries, offering products and services to a worldwide customer base.