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Business, 21.03.2020 04:49 zitterkoph

[AICPA Adapted] Wagner, a holder of a $1,000,000 Palmer Inc. bond, collected the interest due on March 31, 20X8, and then sold the bond to Seal Inc. for $975,000. On that date, Palmer, a 75 percent owner of Seal, had a $1,075,000 carrying amount for this bond. What was the effect of Seal’s purchase of Palmer’s bond on the retained earnings and noncontrolling interest amounts reported in Palmer’s March 31, 20X8, consolidated balance sheet?

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[AICPA Adapted] Wagner, a holder of a $1,000,000 Palmer Inc. bond, collected the interest due on Mar...
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