Jordan, Inc. holds 70% of the outstanding stock of Paxton, which allows Jordan to control Paxton. Jordan...
- Jordan, Inc. holds 70% of the outstanding stock of Paxton,
which allows Jordan to control Paxton. Jordan reports
revenues for the year of $275,000 and Paxton reports
$100,000. What revenue amount would be reported in a
consolidated financial statement?
- $300,000
- $345,000
- $375,000
- $400,000
Homework Answers
| Revenue amount to be reported in a consolidated financial statement is total of Holding and Subsidiary company's revenues. |
| Revenue amount to be reported in a consolidated financial statement = 275000+100000 = $375,000 |
| Option C $375,000 is correct |
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