Intercompany Transactions

Question 1

A Transaction that s/b eliminate 100% even when noncontrolling interest exists

Answer 1

Intercompany Transaction

Question 2

Do not eliminate intercompany accounts if you

Answer 2

do NOT consolidate

Question 3

On the income statement, the following s/b eliminated 100%

Answer 3

a. Interest expense/interest income(bonds)
b. Gain on sale/Depreciation expense(intercompany Fixed asset sales)
c. Sales/COGS(intercompany inventory transcations)