Exam 3: Balance Sheet

Company A owns shares of Company B and Company C.The statements of Company B are consolidated with those of Company A.The statements of Company C are not consolidated.Company A reports "Noncontrolling Interest" on its balance sheet.This account represents:

Which of the following is not true relating to treasury stock?

Required: Using the information given below,prepare a classified balance sheet in good form for Babic Company at December 31,2012. Accounts Payable \ 3,000 Accounts Receivable 109,000 Accrued Liabilities 22,000 Accumulated Depreciation 326,000 Cash 32,000 Common Stock 107,000 Convertible Debentures 561,000 Deferred Income Taxes (long-term liability) 117,000 Equipment 1,070,000 Inventory 146,000 Land 917,000 Marketable Securities 11,000 Paid-In Capital in Excess of Par 141,000 Retained Earnings 952,000 Treasury Stock 24,000

The analyst must assume that securities classified as marketable securities are readily marketable.

If a parent has some control over a subsidiary but the subsidiary is not consolidated,the subsidiary is accounted for as:

Match each account to the proper account description;not all letters will be used. -Retained Earnings

The current asset section of the balance sheet should include:

An ESOP is a qualified stock-bonus or combination stock-bonus and money-purchase pension plan designed to invest primarily in stock,other than the employer's securities.

Match each account to the proper account description;not all letters will be used. -Land