On January 1, 2010, Paprika Company Purchased 90% of the outstanding common stock of sage company...

On January 1, 2010, Paprika Company Purchased 90% of the outstanding common stock of sage company by issuing 30,000 shares of its $10 par ($60 market value) common stock $ 150,000 other contributed capital, $1,060,000; and retained earnings, $120,000. Paprika company paid more than the book value of the net assets because of the recorded cost of sage company’s land was signed less than its fair value (which accounts for the entire difference) During 2010 Sage Company Lost 100000 and declared and paid 70000 dividend Company used Partial Equity Method to record its investment in Sage Company A. Prepare the investment related entries on Paprika company’s books for 2011 B. Prepare the CAD C. Prepare the work paper eliminating entries for a workpaper on December

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ekkarill92 answered 9 months ago

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