Ask Question, Ask an Expert

+1-415-315-9853

info@mywordsolution.com

Ask Basic Finance Expert

problem: Higher Corporation owned 51 percent of the voting common stock of Manato, Inc. The parent’s interest was acquired several years ago on the date that the subsidiary was formed. Consequently, no goodwill or other allocation was recorded in connection with the buying price.

On January 1, 2005, Manato sold $1,400,000 in ten-year bonds to the public at 108. The bonds pay a cash, or stated, interest rate of 10 percent payable every December 31. Higher acquired 40 percent of these bonds on January 1, 2006, at an effective interest rate of 11 percent.

What consolidation journal entry would have been recorded in connection with these intercompany bonds on December 31, 2006?

Basic Finance, Finance

  • Category:- Basic Finance
  • Reference No.:- M921395

Have any Question? 


Related Questions in Basic Finance

Compute the intrinsic values time values and lower bounds

Compute the intrinsic values, time values, and lower bounds of the following calls. Identify any profit opportunities that may exist. Treat these as American options for purposes of determining the intrinsic values and t ...

Compare and contrast the cash conversion cycles ccc of

Compare and contrast the cash conversion cycles (CCC) of Caterpillar Inc. (ticker: U:CAT), Ingersoll-Rand Company Limited (U:IR), and Terex Corp. (U:TEX). Calculate the average age of inventory (AAI), average collection ...

Challenges of international financeapa stylethe balance of

Challenges of International Finance APA Style The balance of payments (BOP) can be defined as the statistical record of a country's international transactions over a certain period of time presented in the form of double ...

The rex-lint inc is planning to put a manufacturing

The Rex-Lint Inc. is planning to put a manufacturing facility in place to build widgets. The systematic risk of this project alone is 25% greater than they currently manage. The company has a target debt to value ratio o ...

Financial management please respond to the

Financial Management" Please respond to the following: • Explain the three methods for calculating credit card interest and your reason for going with a particular method. • Provide an example of how you can use the powe ...

1 does rpm actually create a shortest path tree explain

1. Does RPM actually create a shortest path tree? Explain. What are the leaves of the tree? 2. List three steps that a DVMRP router uses to create a source-based tree. Which phase is responsible for creating the part of ...

1 why must researchers use reliable measures2 why is it

1. Why must researchers use reliable measures? 2. Why is it virtually impossible to eliminate all measurement error from the measures we use in research? 3. What is the relationship between the reliability of a measure a ...

1 in freight transportation a typical logistics problem is

1. In freight transportation, a typical logistics problem is the allocation of empty containers to depots, in order to satisfy future demands of transportation services. How can a carrier predict demands of containers fo ...

1 the black-scholes-merton option pricing model assumes the

1. The Black-Scholes-Merton option pricing model assumes the stock price changes are lognormally distributed. Show graphically how this distribution changes when an investor is long the stock and short the call. 2 .The B ...

Graph the means in figure 914 for the interaction between

Graph the means in Figure 9.14 for the interaction between self-esteem and ego threat. Does the graph look like one in which an interaction is present? Why or why not?

  • 4,153,160 Questions Asked
  • 13,132 Experts
  • 2,558,936 Questions Answered

Ask Experts for help!!

Looking for Assignment Help?

Start excelling in your Courses, Get help with Assignment

Write us your full requirement for evaluation and you will receive response within 20 minutes turnaround time.

Ask Now Help with Problems, Get a Best Answer

Section onea in an atwood machine suppose two objects of

SECTION ONE (a) In an Atwood Machine, suppose two objects of unequal mass are hung vertically over a frictionless

Part 1you work in hr for a company that operates a factory

Part 1: You work in HR for a company that operates a factory manufacturing fiberglass. There are several hundred empl

Details on advanced accounting paperthis paper is intended

DETAILS ON ADVANCED ACCOUNTING PAPER This paper is intended for students to apply the theoretical knowledge around ac

Create a provider database and related reports and queries

Create a provider database and related reports and queries to capture contact information for potential PC component pro

Describe what you learned about the impact of economic

Describe what you learned about the impact of economic, social, and demographic trends affecting the US labor environmen