(Solution) - The affiliation structure for Pad Corporation and its subsidiari -(2025 Original AI-Free Solution)

Paper Details

The affiliation structure for Pad Corporation and its subsidiaries is diagrammed as follows:

The incomes and dividends for the affiliates for 2011 are (in thousands):


ADDITIONAL INFORMATION
1. Axe sold land to Sal during 2011 at a $20,000 gain. The land is still held by Sal.
2. Sal is amortizing a previously unrecorded patent of Axe at the rate of $12,000 per year. (Total amortization is $20,000.)
3. Pad is amortizing a previously unrecorded patent acquired from Sal with a book value of $360,000 over its remaining nine-year life.
REQUIRED: Prepare a schedule to compute controlling and noncontrolling interest shares of consolidated net income for each subsidiary for2011.