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. What amount should be reported related to the advance in Rowe's consolidated balance sheet as of December 31?

Rowe Inc. owns80% of Cowan Co.'s outstanding capital stock. On November1, Rowe advanced $100,000 in cash to Cowan. What amount should be reported related to the advance in Rowe's consolidated balance sheet as of December31? a. $0 b. $20,000 c. $80,000 d. $100,000

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Question ajoutée par mohamed shosha , Accountant , Golden Holidays
Date de publication: 2013/09/22
Prince Ninan
par Prince Ninan , Audit Executive , Lewis & Pecker

Zero-in consolidated balance sheet inter co owings are eliminated

Menerva Melad
par Menerva Melad , Account Executive, Key Accounts , Graphic Home Company

D   100000

Osama Alia
par Osama Alia , Freelance consultation (Financial Management, Banking) , Freelance CFO

$100,000 it is recorded as debt on Cowan.

Ankit Gupta
par Ankit Gupta , Accounts and Commercial Assistant , Hayat Communication FZCO

D) $100,000 and will also be dislosed in FS as Investment in associate.

Muhammad Kashan Akhtar  Khan FCCA
par Muhammad Kashan Akhtar Khan FCCA , Head of Finance and Administration , Al Osais Inabensa Co. Ltd

D) will be recorded as advance to cown with full amount $100K and  will also be disclosed in FS as related party transaction.

Cynthia Fombo  ACCA
par Cynthia Fombo ACCA , Senior Accountant , British Integrated Group of Co

In the individual financial statement of Rowe, $ 100,000 but zero in the consolidated finacial statements because upon consolidation, all intragroup balances, transactions, income  and  expenses are elimiated in full.

salah abd el a'al
par salah abd el a'al , Financial Manager , SUKHTIAN TRADING

20000

Muhammad Irfan Safdar
par Muhammad Irfan Safdar , Chief Accountant , Mimar Projects LLC

Zero amount of advance to inter company will go in the BS as it will be eliminated at the time of consolidation.

Mohammad Iqbal Abubaker
par Mohammad Iqbal Abubaker , Jahaca Pty Ltd - Accounts Administrator , Jahaca Pty Ltd - Accounts Administrator

I agree with the answer given by Prince Ninan   Chartered Accountant.

Alan Amores
par Alan Amores , General Accountant , MAM Food Co. LLC

100,000 - related party transaction

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