Pluto Company owns 80 percent of the common stock of Star Corporation. During the year, Pluto reported sales of $1,000,000, and Star reported sales of $500,000, including sales to Pluto of $80,000. The amount of sales that should be reported in the consolidated income statement for the year is:

A. $1,500,000.
B. $1,420,000.
C. $500,000.
D. $1,300,000.


Answer: B

Business

You might also like to view...

Organizations who believe that leaders can be made (cumulatively) spend ______

a. hundreds of thousands of dollars on leadership training b. millions of dollars on leadership training c. billions of dollars on leadership training d. very little money on leadership training as their managers learn to be leaders on the job

Business

Ray Fernández is a sales representative employed by Computer Resources, a computer supplier that develops customer solutions that combine computer hardware, software, installation, and training

When Ray brings together many parts of the company's product mix in order to develop a customized customer solution, this is referred to as: A) developing a product configuration B) establishing a strategic priority C) qualifying product benefits D) quantifying product features E) creating a value statement

Business

Which of the following is an example of cash?

a. Commercial paper b. Certificates of deposit c. Travelers checks d. Treasury bills

Business

For no-par stock there can be paid-in capital in excess of par

Indicate whether the statement is true or false

Business