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C_S4FCC_2021 · Question #40

C_S4FCC_2021 Question #40: Real Exam Question with Answer & Explanation

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Question

Company A purchased 80% of Company B for 80 million in December of 2022. Company B's equity is 50 million. What accounting entries should be generated when consolidation is run for December of 2022? Note: There are 2 correct answers to this question.

Options

  • ADebit goodwill 50 million
  • BCredit investment 64 million
  • CDebit goodwill 40 million
  • DCredit investment 80 million

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