How do intra-entity profits present in any year affect the noncontrolling interest calculations?

Q: What is The Net unrealized Gain (Loss) each year? Is the Net unrealized Gain (Loss) taxable?

A: Formula: Unrealized gain ( Loss ) = Fair value of securities - amortized cost. Deduction of…

Q: Which of the following statements is correct?     Earnings and profits are exactly the same as…

A: Amount paid to the shareholders by the company from the profits earned is called dividends. Out of…

Q: If the amount paid by an investor (parent) is less than the proportional total of the estimated fair…

A: b. Gain from bargain purchase in the income statement of the investor. In extremely rare…

Q: Which business enterprises pay untaxed profits to owners/partners who then pay the taxes on their…

A: Profits are referred to as the gains which a business earns when it sells the good or provides the…

Q: Why might the after-tax internal rate of return on equity (ATIRRe) differ for a new investor versus…

A: A post-tax IRR for equity could shift for another financial specialist versus a current speculator…

Q: What does the formula developed for calculating compound interest express?

A: Answer: Compound interest is nothing but interest earned on interest. In case of simple interest…

Q: Describe the procedures for determining after-tax net cash flows in taxable situations?

A: Net cash flow after tax is an important measure used for the purpose of evaluation of company's…

Q: Compare and contrast how corporations use interest swaps and forward contracts.

A: Interest swaps and forward contracts : Interest swaps are a kind of forward contracts where future…

Q: How does a company report deferred gross profit resulting from the use of the installment sales…

A: Definition:   Installment sales method: Under the installment sales, the revenue and costs are…

Q: What are the controlling interest percentage for a business combination tax return?

A: When a shareholder, or a group persons, holds a majority of a company's voting rights are called as…

Q: how do compute thesocial security taxable earnings?

A: Federal income taxes (FIT) are imposed in USA. Tax is calculated by applying tax rates which…

Q: Why should executory contracts be disclosed in the financial statements? Group of answer choices…

A: Executory contracts are contracts under which neither party has performed any of its obligations or…

Q: What is an imputation tax system? Briefly explain the chronology of dividend payment.

A: Countries like Australia and New Zealand follow 100% imputation system, whereas Canada and United…

Q: How is the noncontrolling interest in a subsidiary company calculated as of the end of a reporting…

A: Definition:   Non-controlling interest in a subsidiary company: The non-controlling interest does…

Q: Is taxable interest income generated via active or passive investments, or through a portfolio of…

A: The Answer

Q: What is the impact of annuity dues in consideration to business matter?

A: Annuity Due: It is the fixed amount of payment that is due immediately at the beginning of each…

Q: Please in calculating return on year end capital employed = profit before tax / capital employed.…

A: Return on capital employed (ROCE): It is the type of profitability ratio that tells how well the…

Q: How are deferred taxes calculated? What determines if the company has a deferred asset or a deferred…

A: Deferred tax is a fictitious asset or liability that reflects company income taxation on a premise…

Q: When is the intra-entity’s profits recognized on transfers between the investor and investee?

A: The period in which intra-entity’s profits recognized on transfers between the investor and investee…

Q: w much is the investment in joint venture to be presented in the 2021 statement of financial…

A: Step 1 If any Joint arrangement is established in the form of corporate entity, then it refers to…

Q: Which of the following transactions would not result in a temporary difference between pretax…

A: Correct option is D. Payment of premiums for life insurance

Q: Do you believe that the cash flows from the sale of an investment should also include the tax effect…

A: Cash Flows in any entity's books reflect the inflow and outflow of cash during a specified period

Q: Choose the correct. Under fair-value accounting for an equity investment, which of the following…

A: Under fair value accounting change in the value of investment will be recognized as the change in…

Q: For cash-settled share based payment transactions, until the liability is settled, the entity is…

A: Solution: As per IFRS 2, "For cash-settled share-based payment transactions, entity should measure…

Q: Compare and contrast how corporations use interest swaps and forward contracts. Give an example of a…

A: Interest rate swaps are a derivative instrument based on a comparative benefit premise. Try to…

Q: How much should be reclassified to Retained Earnings as a result of derecognizing the investment in…

A: Any increase or decrease in investment is an increase or decrease in revenue of the company and has…

Q: 1. Assuming the investment is appropriately recognized as a financial asset intended to collect…

A: Financial assets are held for collecting contractual cash flows and selling of investment then the…

Q: Using the adjusted present value model, under what assumptionsare the MM (with corporate taxes)…

A: MM model shows that company’s market value is computed as a PV of company’s future earnings which is…

Q: Which depreciation method is most common for financial reporting? Which depreciation method is most…

A:

Q: How are intra-entity transfers reported in an investee’s separate financial statements if the…

A: Equity method: Equity method is the method used for accounting equity investments which claim a…

Q: Explain how an investor in an equity REIT may receive a current dividend, part of which may be…

A: Introduction: Equity REITs requires a direct investment in restaurants, shopping malls and office…

Q: Which mathematial expression is used to calculate the after tax cost of debt?

A: Cost of debt: Cost of debt is the effective rate of interest that the firm pays on its present…

Q: What adjustment must be made at the end of the period for trading debt investments and…

A:

Q: b. What are the tax consequences of the distribution to Crimson Corporation? After the distribution…

A: A non-liquidating distribution made by a business organization is: A dividend to the extent of…

Q: Taxable dividend income in the amount of $ Return of capital in the amount of $ Capital gains in the…

A: First, calculate the deficit on June 30: Deficit on June 30=Deficit in current…

Q: What is the non-controlling interest in Net Income for 20x1, considering intercompany transactions?

A: Consolidated financial statements are the financial statements of a group consisting of multiple…

Q: What will be the Effect of Interest Rates on the After Tax IRR on Equity?

A: "Financial leverage is a double edged sword". If the company is not managing its financial resources…