During the 20X7 financial year, X Ltd sells inventory to its parent P Ltd for $90,000 representing a mark-up of 50% on cost. At 30 June 20X7, 3/4 of the goods are still held by P Ltd. The unrealised profit to be eliminated on consolidation is: a. $10,000 b. $22,500 c. $60,000 d. $30,000

X Ltd. Follows FIFO method. From the details given below, ascertain the value of cost of sales and closing stock under CPP method. Opening inventory 31-12-2020 = 60,000 Purchase during the year 2021= 414,000 Closing inventory 31-12-2021 = 54,000 General price index: 2020 end =100 2021 end = 200 Average for 2021 = 150

During the current period, a subsidiary entity sold inventories to its parent entity at a profit of $6 000. The goods had originally cost the subsidiary $30 000. All the inventories were still on hand at the end of the year. The consolidation adjustment entry would include the following line item: Group of answer choicesCR Inventories $30 000CR Inventories $18 000CR Inventories $24 000CR Inventories $6 000

P Ltd provides management services to its subsidiary company S Ltd for $150 000 per year. At the end of the current year, S Ltd owes $70 000 of this fee. The entry required on consolidation is: a. Dr. Management Fee Revenue  $150 000      Cr. Management Fee Expense    $150 000 b. Dr. Management Fee Revenue  $150 000      Cr. Management Fee Expense    $150 000Dr. Accrued Fees Payable           $70 000      Cr. Accrued Fees Receivable      $70 000 c. Dr. Management Fees Revenue $70 000       Cr. Management Fees Expense  $70 000 d. none of the above.

In a manufacturing company, Product X is a popular item known for its quality and durability. During the last production cycle, the company produced 3,000 units of Product X. The opening inventory at the beginning of the cycle was 200 units, and the closing inventory at the end of the cycle was 400 units. The company also incurred administrative expenses amounting to $15,000 during the period, and the sales team received commissions totalling 5% of total sales revenue.The financial details for Product X are as follows:Selling price per unit: $70Direct materials per unit: $20Direct labor per unit: $12Variable production overhead per unit: $8Fixed production overhead: $30,000Calculate the gross profit for Product X using marginal costing.

A747 Limited and A767 Limited are subsidiaries of one economic entity. Both A747 Limited and A767 Limited are both separate legal entities required to prepare their own financial statements. During the 20X7 financial year, A747 Limited sold A767 Limited an amount of inventory which cost $1,000 for $2,000. At the end of the 20X7 financial year, A767 Limited has 60 percent of that inventory still on hand and the rest has been sold to an entity outside the economic entity.At what amount should the inventory remaining in A767 Limited be recorded in the consolidated financial statement for the economic entity for the 20X7 financial year?Group of answer choices$1,200$800$2,000$600