Strickland Company sells inventory to its parent, Carter Com…

Strickland Company sells inventory to its parent, Carter Company, at a profit during 2027. One-third of the inventory is sold by Carter in 2027. In the consolidation worksheet for 2027, which of the following choices would be a credit entry to eliminate unrealized intra-entity gross profit with regard to the 2027 intra-entity sales?

Denber Co. acquired 60% of the common stock of Kailey Corp….

Denber Co. acquired 60% of the common stock of Kailey Corp. on September 1, 2025. For 2025, Kailey reported revenues of $810,000 and expenses of $630,000, all reflected evenly throughout the year. The annual amount of amortization related to this acquisition was $15,000. What is the amount of the noncontrolling interest’s share of Kailey’s income for 2025?

Harrison, Inc. acquires 100% of the voting stock of Rhine Co…

Harrison, Inc. acquires 100% of the voting stock of Rhine Company on January 1, 2020 for $400,000 cash. A contingent payment of $16,500 will be paid on April 15, 2021 if Rhine generates cash flows from operations of $27,000 or more in the next year. Harrison estimates that there is a 20% probability that Rhine will generate at least $27,000 next year, and uses an interest rate of 5% to incorporate the time value of money. The fair value of $16,500 at 5%, using a probability weighted approach, is $3,142. Under the Acquisition Method, what will Harrison record as the acquisition price on January 1, 2020?