Velicio Entity (VE) owns 75% of the voting rights of Marikes Entity (ME). VE decided to sell a 25% interest in ME to the non-controlling shareholders in exchange for cash of $480,000. As of the date of this transaction ME has net assets of $2,200,000. How should VE account for the sale of subsidiary's shares in the consolidated financial statements?

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The Answer of Velicio Entity (VE) owns 75% of the voting rights of Marikes Entity (ME). VE decided to sell a 25% interest in ME to the non-controlling shareholders in exchange for cash of $480,000. As of the date of this transaction ME has net assets of $2,200,000. How should VE account for the sale of subsidiary's shares in the consolidated financial statements?

Velicio Entity (VE) Owns 75% of the Voting Rights of Marikes