Peabody Company owns 90% of the outstanding capital stock of Sloane Company. During 2014 and 2015 Sloane Company sold merchandise to Peabody Company at a markup of 25% of selling price. The selling price of the merchandise sold during the two years was $40,000 and $27,200, respectively. At the end of each year, Peabody Company had in its inventory one-fourth of the goods purchased that year from Sloane Company. Sloane Company reported net income of $28,500 in 2014 and $35,080 in 2015. Determine the amount of the noncontrolling interest in consolidated income to be reported for 2014 and 2015. (Round answers to O decimal places, e.g. 5,125.) Noncontrolling interest in consolidated income +A $ 2014 2,600 +A 2015 3,338
Peabody Company owns 90% of the outstanding capital stock of Sloane Company. During 2014 and 2015 Sloane Company sold merchandise to Peabody Company at a markup of 25% of selling price. The selling price of the merchandise sold during the two years was $40,000 and $27,200, respectively. At the end of each year, Peabody Company had in its inventory one-fourth of the goods purchased that year from Sloane Company. Sloane Company reported net income of $28,500 in 2014 and $35,080 in 2015. Determine the amount of the noncontrolling interest in consolidated income to be reported for 2014 and 2015. (Round answers to O decimal places, e.g. 5,125.) Noncontrolling interest in consolidated income +A $ 2014 2,600 +A 2015 3,338
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Question
Hardev
![Peabody Company owns 90% of the outstanding capital stock of Sloane Company. During 2014 and 2015 Sloane Company sold
merchandise to Peabody Company at a markup of 25% of selling price. The selling price of the merchandise sold during the two years
was $40,000 and $27,200, respectively. At the end of each year, Peabody Company had in its inventory one-fourth of the goods
purchased that year from Sloane Company. Sloane Company reported net income of $28,500 in 2014 and $35,080 in 2015.
Determine the amount of the noncontrolling interest in consolidated income to be reported for 2014 and 2015. (Round answers to O
decimal places, e.g. 5,125.)
Noncontrolling interest in consolidated income
+A
$
2014
2,600
+A
2015
3,338](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fafd3ce9f-dbe7-43fc-81fd-816754df16ec%2F2e6ff39f-8beb-4f80-88b2-b762de70a76c%2Fjzxofz_processed.jpeg&w=3840&q=75)
Transcribed Image Text:Peabody Company owns 90% of the outstanding capital stock of Sloane Company. During 2014 and 2015 Sloane Company sold
merchandise to Peabody Company at a markup of 25% of selling price. The selling price of the merchandise sold during the two years
was $40,000 and $27,200, respectively. At the end of each year, Peabody Company had in its inventory one-fourth of the goods
purchased that year from Sloane Company. Sloane Company reported net income of $28,500 in 2014 and $35,080 in 2015.
Determine the amount of the noncontrolling interest in consolidated income to be reported for 2014 and 2015. (Round answers to O
decimal places, e.g. 5,125.)
Noncontrolling interest in consolidated income
+A
$
2014
2,600
+A
2015
3,338
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