Tugas Kelompok ke-1
Minggu 3
Short Questions
1. How should nonconsolidated subsidiaries be re-ported reported in consolidated financial
statements?
2. How are liquidating dividends treated on the books of an investor, assuming the investor
uses the cost method? Assuming the investor uses the equity method?
3. How are dividends declared and paid by a subsidiary during the year eliminated in the
consolidated work papers under each method of ac-counting accountingfor investments?
4. How is the income reported by the subsidiary reflected on the books of the investor under
each of the methods of accounting for investments?
5. Define: Consolidated net income; consolidated retained earnings.
Cases