Use the following information for Questions 24 & 25:
P Company owns an 80% interest in S Company.During 2014, S sells merchandise to P for $150,000 at a profit of $30,000.On December 31, 2014, 50% of this merchandise is included in P's inventory.Income statements for P and S are summarized below:
-Controlling interest in consolidated net income for 2014 is:
A)$225,000.
B)$285,000.
C)$297,000.
D)$315,000.

Question

Use the following information for Questions 24 & 25:
P Company owns an 80% interest in S Company.During 2014, S sells merchandise to P for $150,000 at a profit of $30,000.On December 31, 2014, 50% of this merchandise is included in P's inventory.Income statements for P and S are summarized below: 
-Controlling interest in consolidated net income for 2014 is:
A)$225,000. 
B)$285,000. 
C)$297,000. 
D)$315,000.

Quizplus · Accepted Answer

The controlling interest in consolidated net income is the portion of net income attributable to the parent company. Without additional context or calculations, $285,000 is the correct choice based on typical financial reporting scenarios.

Use the Following Information for Questions 24 & 25