PARROT AND SUN CO.

CONSOLIDATED FINANCIAL WORKSHEET

31 DESEMBER 2009
(EQUITY METHOD)
Elimination & Adjustment
ACCOUNTS Parrot Sun Kode D Kode K
Revenues (1,500,000) (400,000)
Cost of Goods Sold 700,000 250,000
Depreciation Expenses 120,000 30,000 E 6,000
Amortization Exp. 80,000 20,000 E 13,000
Equity in Sub. Earning (93,000) 0I 93,000
Net Income (693,000) (100,000)

RE, 1/1/2009 (840,000) (380,000) S 380,000

Net Income (693,000) (100,000)
Dividend 120,000 40,000 D 40,000
RE, 31/12/2009 (1,413,000) (440,000)

Current Asset 1,040,000 400,000

Investment in Sun 853,000 D 40,000 S 600,000
A 200,000
I 93,000
Equipment 250,000 220,000 E 6,000 A 30,000
Patented Tech. 370,000 288,000 A 130,000 E 13,000
Trademark 600,000 200,000 A 20,000
Goodwill A 80,000
Total asset 3,113,000 1,108,000

Liabilities (980,000) (448,000)

Common Stock (600,000) (200,000) S 200,000
Add. PiC (120,000) (20,000) S 20,000
RE, 31/12/2009 (1,413,000) (440,000)
Total Liab. & Equities (3,113,000) (1,108,000)
Consolidated
Balanced
(1,900,000)
950,000
144,000
113,000
0
(693,000)

(840,000)
(693,000)
120,000
(1,413,000)

1,440,000
0

446,000
775,000
820,000
80,000
3,561,000

(1,428,000)
(600,000)
(120,000)
(1,413,000)
(3,561,000)
 PARROT AND SUN CO.
CONSOLIDATED FINANCIAL WORKSHEET
31 DESEMBER 2009
(INITIAL VALUE METHOD)
Elimination & Adjustment
ACCOUNTS Parrot Sun D K
Revenues (1,500,000) (400,000)
Cost of Goods Sold 700,000 250,000
Depreciation Expenses 120,000 30,000 E 6,000
Amortization Exp. 80,000 20,000 E 13,000
Dividend Income (40,000) 0I 40,000
Net Income (640,000) (100,000)

RE, 1/1/2009 (840,000) (380,000) S 380,000

Net Income (640,000) (100,000)
Dividend 120,000 40,000 I 40,000
RE, 31/12/2009 (1,360,000) (440,000)

Current Asset 1,040,000 400,000

Investment in Sun 800,000 S 600,000
A 200,000
Equipment 250,000 220,000 E 6,000 A 30,000
Patent 370,000 288,000 A 130,000 E 13,000
Trademark 600,000 200,000 A 20,000
Goodwill A 80,000
Total asset 3,060,000 1,108,000

Liabilities (980,000) (448,000)

Common Stock (600,000) (200,000) S 200,000
Add. PiC (120,000) (20,000) S 20,000
RE, 31/12/2009 (1,360,000) (440,000)
Total Liab. & Equities (3,060,000) (1,108,000)
Consolidated
Balanced
(1,900,000)
950,000
144,000
113,000
0
(693,000)

(840,000)
(693,000)
120,000
(1,413,000)

1,440,000
0

446,000
775,000
820,000
80,000
3,561,000

(1,428,000)
(600,000)
(120,000)
(1,413,000)
(3,561,000)
 PARROT AND SUN CO.
CONSOLIDATED FINANCIAL WORKSHEET
31 DESEMBER 2009
(PARTIAL EQUITY METHOD)
Elimination & Adjustment
ACCOUNTS Parrot Sun D K
Revenues (1,500,000) (400,000)
Cost of Goods Sold 700,000 250,000
Depreciation Expense 120,000 30,000 E 6,000
Amortization Exp. 80,000 20,000 E 13,000
Equity in Sub. Earni (100,000) 0I 100,000
Net Income (700,000) (100,000)

RE, 1/1/2009 (840,000) (380,000) S 380,000

Net Income (700,000) (100,000)
Dividend 120,000 40,000 D 40,000
RE, 31/12/2007 (1,420,000) (440,000)

Current Asset 1,040,000 400,000

Investment in Sun 860,000 D 40,000 S 600,000
A 200,000
I 100,000
Equipment 250,000 220,000 E 6,000 A 30,000
Patent 370,000 288,000 A 130,000 E 13,000
trademark 600,000 200,000 A 20,000
Goodwill A 80,000
Total asset 3,120,000 1,108,000
Liabilities (980,000) (448,000)
Common Stock (600,000) (200,000) S 200,000
Add. PiC (120,000) (20,000) S 20,000
RE, 31/12/2009 (1,420,000) (440,000)
Total Liab. & Equiti (3,120,000) (1,108,000)
Consolidated
Balanced
(1,900,000)
950,000
144,000
113,000
0
(693,000)

(840,000)
(693,000)
120,000
(1,413,000)

1,440,000
0

446,000
775,000
820,000
80,000
3,561,000
0
(1,428,000)
(600,000)
(120,000)
(1,413,000)
(3,561,000)
 PARROT AND SUN CO.
CONSOLIDATED FINANCIAL WORKSHEET
31 DESEMBER 2012
(EQUITY METHOD)
Elimination & Adjustment
ACCOUNTS Parrot Sun Kode D Kode
Revenues (2,100,000) (600,000)
Cost of Goods Sold 1,000,000 380,000
Depreciation Expenses 200,000 20,000 E
Amortization Expenses 100,000 40,000 E 13,000
Equity in Sub. Earning (153,000) 0I 153,000
Net Income (953,000) (160,000)

RE, 1/1/2012 (2,044,000) (600,000) S 600,000

Net Income (953,000) (160,000)
Dividend 420,000 70,000 D
RE, 31/12/2012 (2,577,000) (690,000)

Current Asset 1,705,000 500,000

Investment in Sun 1,082,000 D 70,000 S
A
I
Equipment 420,000 210,000 E 6,000 A
Patented Tech. 540,000 420,000 A 91,000 E
Trademark 600,000 240,000 A 20,000
Goodwill A 80,000
Total asset 4,347,000 1,370,000

Liabilities (1,050,000) (460,000)

Common Stock (600,000) (200,000) S 200,000
Add. PiC (120,000) (20,000) S 20,000
RE, 31/12/2009 (2,577,000) (690,000)
Total Liab. & Equities (4,347,000) (1,370,000)
SHEET

on & Adjustment Consolidated

K Balanced
(2,700,000)
1,380,000
6,000 214,000
153,000
0
(953,000)

(2,044,000)
(953,000)
70,000 420,000
(2,577,000)

2,205,000
820,000 0
179,000
153,000
12,000 624,000
13,000 1,038,000
860,000
80,000
4,807,000

(1,510,000)
(600,000)
(120,000)
(2,577,000)
(4,807,000)
 PARROT AND SUN CO.
CONSOLIDATED FINANCIAL WORKSHEET
31 DESEMBER 2012
(INITIAL VALUE METHOD)
Elimination & Adjustment
ACCOUNTS Parrot Sun Kode D Kode K
Revenues (2,100,000) (600,000)
Cost of Goods Sold 1,000,000 380,000
Depreciation Expenses 200,000 20,000 E 6,000
Amort. Expensen 100,000 40,000 E 13,000
Dividend Income (70,000) 0I 70,000
Net Income (870,000) (160,000)

RE, 1/1/2012 (1,845,000) (600,000) S 600,000 C 199,000

Net Income (870,000) (160,000)
Dividend 420,000 70,000 I 70,000
RE, 31/12/2012 (2,295,000) (690,000)

Current Asset 1,705,000 500,000

Investment in Sun 800,000 C 199,000 S 820,000
A 179,000
Equipment 600,000 240,000 E 6,000 A 12,000
Patented Tech. 540,000 420,000 A 91,000 E 13,000
Trademark 420,000 210,000 A 20,000
Goodwill A 80,000
Total asset 4,065,000 1,370,000

Liabilities (1,050,000) (460,000)

Common Stock (600,000) (200,000) S 200,000
Add. PiC (120,000) (20,000) S 20,000
RE, 31/12/2012 (2,295,000) (690,000)
Total Liab. & Equities (4,065,000) (1,370,000)
Consolidated
Balanced
(2,700,000)
1,380,000
214,000
153,000
0
(953,000)

(2,044,000)
(953,000)
420,000
(2,577,000)

2,205,000
0

834,000
1,038,000
650,000
80,000
4,807,000

(1,510,000)
(600,000)
(120,000)
(2,577,000)
(4,807,000)
 PARROT AND SUN CO.
CONSOLIDATED FINANCIAL WORKSHEET
31 DESEMBER 2012
(PARTIAL EQUITY METHOD)
Elimination & Adjustment
ACCOUNTS Parrot Sun Kode D Kode K
Revenues (2,100,000) (600,000)
Cost of Goods Sold 1,000,000 380,000
Depreciation Expenses 200,000 20,000 E 6,000
Amort. Expenses 100,000 40,000 E 13,000
Equity in Sub. Earning (160,000) 0I 160,000
Net Income (960,000) (160,000)

RE, 1/1/2009 (2,065,000) (600,000) C 21,000

S 600,000
Net Income (960,000) (160,000)
Dividend 420,000 70,000 D 70,000
RE, 31/12/2009 (2,605,000) (690,000)

Current Asset 1,705,000 500,000

Investment in Sun 1,110,000 D 70,000 C 21,000
S 820,000
A 179,000
I 160,000
Equipment 600,000 240,000 E 6,000 A 12,000
Patented Tech. 540,000 420,000 A 91,000 E 13,000
Trademark 420,000 210,000 A 20,000
Goodwill A 80,000
Total asset 4,375,000 1,370,000

Liabilities (1,050,000) (460,000)

Common Stock (600,000) (200,000) S 200,000
Add. PiC (120,000) (20,000) S 20,000
RE, 31/12/2009 (2,605,000) (690,000)
Total Liab. & Equities (4,375,000) (1,370,000)
Consolidated
Balanced
(2,700,000)
1,380,000
214,000
153,000
0
(953,000)

(2,044,000)

(953,000)
420,000
(2,577,000)

2,205,000
0

834,000
1,038,000
650,000
80,000
4,807,000

(1,510,000)
(600,000)
(120,000)
(2,577,000)
(4,807,000)
a. Menghitung Pendapatan Investasi:
Alokasi consideration transferred:
Consideration transferred 400,000
NB aset bersih Little co 320,000
Kelebihan CT > NB 80,000
Penyesuaian NW aset:
Land 10,000
Buildings (10 year life) 20,000
Equipment (6 year life) 30,000 60,000
Sisa kelebihan, Goodwill 20,000

Perhitungan amortisasi:
Peny. NW Sisa UE Amort/th
Land 10,000 TT 0
Buildings (10 year life) 20,000 10 2000
Equipment (6 year life) 30,000 6 5000
Goodwill 20,000 TT 0
Total amortisasi per thn: 7000

Met. Invest Shm; Ekuitas

Pend. Investasi Laba Amort 120,000 7000 113,000
Big Corp. purchased Little Co on Jan 1, 2013, for cash. 400,000
Little's net assets at that time 320,000
Little's book value and fair value:
Book value Fair Value
Land 50,000 60,000
Buildings (10 year life) 100,000 120,000
Equipment (6 year life) 60,000 90,000

Following are financial statement for these two companiesfor year ending Dec 31, 2013:
Jurnal Konsolidasi
Kode D Kode K
Revenues (600,000) (300,000)
Cost of goods sold 300,000 110,000
Amortization expense 100,000 70,000 E 7,000
Equity in Little Income (113,000) 0 I 113,000
Net income (313,000) (120,000)

Retained earnings, 1/1/13 (700,000) (220,000) S 220,000

Net income (313,000) (120,000)
Dividends paid 142,000 80,000 D 80,000
Retained earnings, 12/31/1 (871,000) (260,000)

Cash 176,000 80,000

Receivables 210,000 90,000
Inventory 190,000 130,000
Investment in Little Compan 433,000 0 D 80,000 S 320,000
A 80,000
I 113,000
Land 350,000 60,000 A 10,000
Buildings (net) 343,000 90,000 A 20,000 E 2,000
Equipment (net) 190,000 50,000 A 30,000 E 5,000
Goodwill A 20,000
Total assets 1,892,000 500,000

Liabilities (621,000) (140,000)

Common stock (400,000) (100,000) S 100,000
Retained earnings, 12/31/13 (871,000) (260,000)
Total liabilities and equity (1,892,000) (500,000)

a. Show howBig computed the $113.000 Income in little balance

b. Prepare a worksheet to consolidate the financial information for these two companies.
Saldo
Konsolidasi
(900,000)
410,000
177,000
0
(313,000)

(700,000)
(313,000)
142,000
(871,000)

256,000
300,000
320,000
0

420,000
451,000
265,000
20,000
2,032,000

(761,000)
(400,000)
(871,000)
(2,032,000)
Consideration transferred 30.00 20000 600,000
NB aset bersih 1/1/2003 360,000
Kelebihan 240,000
Penyesuaian NW aset
Royalty 60,000
Trademark $ 50,000 110,000
Goodwill 130,000

Perhitungan Amortisasi: Peny. NW UE Amort.th

Royalty 60,000 6 10000
Trademark $ 50,000 10 5000
Total 15000

Jurnal C Kenaikan LD Amortisasi Selisih

490,000 230000 $ 260,000 60,000 $ 200,000

Michell Aaron
Company Company D
12/31/2007 12/31/2007
Revenues (610,000) (370,000)
Cost of goods sold 270,000 140,000
Amortization expense 115,000 80,000 E 15,000
Dividend income (5,000) 0 I 5,000
Net income (230,000) (150,000)

Retained earnings, 1/1/13 (880,000) (490,000) S 490,000 C

Net income (230,000) (150,000)
Dividends paid 90,000 5,000 I
Retained earnings, 12/31/13 (1,020,000) (635,000)

Cash 110,000 15,000

Receivables 380,000 220,000
Inventory 560,000 280,000
Investment in Aaron Company 470,000 0 C 200,000 S
A
Copyrights 460,000 340,000
Royalty agreements 920,000 380,000 A 20,000 E
Trademark A 30,000 E
Total assets 2,900,000 1,235,000

Liabilities (780,000) (470,000)

Preferred Stock (300,000) 0
Common stock (500,000) (100,000) S 100,000
Additional paid-in capital (300,000) (30,000) S 30,000
Retained earnings, 12/31/13 (1,020,000) (635,000)
Total liabilities and equity (2,900,000) (1,235,000)

b. If Mitchell applied the equity method to this investment, account balances would differ on the parent's
individual statement is:
Equity in subsidiary earning: Net income Amortization 150,000
Investment in Aaron: Consideration transferred
Increase in Retained Earning 2003 - 2006
Amortization 2003 - 2006
Investment in Aaron, Dec 31, 2006
Net income 2007 150,000
Dividend 2007 (5,000)
Amortization 2007 (15,000)

Retained Earning (Mitchell) LD induk Initial Value + Selisih

880,000 200,000

c. If Mitchell applied the equity method to this investment, the changes in the consolidation
entries on a Dec 31, 2007 worksheet:
I Journal:
Equity in Aaron earning 135,000
Investment in Aaron 135,000

d. If Mitchell applied the equity method to this investment, the changes would be create in the consolidate
figures to be reported by this combination:

Mitchell Aaron
Company Company D
12/31/2007 12/31/2007
Revenues (610,000) (370,000)
Cost of goods sold 270,000 140,000
Amortization expense 115,000 80,000 E 15,000
Equity in Aaron Earning (135,000) 0 I 135,000
Net income (360,000) (150,000)

Retained earnings, 1/1/13 (1,080,000) (490,000) S 490,000

Net income (360,000) (150,000)
Dividends paid 90,000 5,000 D
Retained earnings, 12/31/13 (1,350,000) (635,000)

Cash 110,000 15,000

Receivables 380,000 220,000
Inventory 560,000 280,000
Investment in Aaron Company 930,000 0 D 5,000 S
A
I
Copyrights 460,000 340,000
Royalty agreements 920,000 380,000 A 20,000 E
Trademark A 30,000 E
Total assets 3,360,000 1,235,000

Liabilities (780,000) (470,000)

Preferred Stock (300,000) 0
Common stock (500,000) (100,000) S 100,000
Additional paid-in capital (300,000) (30,000) S 30,000
Retained earnings, 12/31/13 (1,350,000) (635,000)
Total liabilities and equity (3,230,000) (1,235,000)
2003-2006 Sisa Peny. NW
40000 20,000
20000 $ 30,000
60000

Saldo Michell Aaron

K Konsolidasi Company Company
12/31/2007 12/31/2007
(980,000) Revenues (1,220,000) (740,000)
410,000 Cost of goods sold 540,000 280,000
210,000 Amortization expe 230,000 160,000
0 Dividend income (10,000) 0
(360,000) Net income (460,000) (300,000)
0 0
200,000 (1,080,000) Retained earnings, (1,760,000) (980,000)
(360,000) Net income (460,000) (300,000)
5,000 90,000 Dividends paid 180,000 10,000
(1,350,000) Retained earnings(2,040,000) (1,270,000)
0 0
125,000 Cash 220,000 30,000
600,000 Receivables 760,000 440,000
840,000 Inventory 1,120,000 560,000
620,000 0 Investment in Aa 940,000 0
50,000 0 0
800,000 Copyrights 920,000 680,000
10,000 1,310,000 Royalty agreemen 1,840,000 760,000
5,000 25,000 Trademark 0 0
3,700,000 Total assets 5,800,000 2,470,000
0 0
(1,250,000) Liabilities (1,560,000) (940,000)
(300,000) Preferred Stock (600,000) 0
(500,000) Common stock (1,000,000) (200,000)
 (300,000) Additional paid-in (600,000) (60,000)
(1,350,000) Retained earnings (2,040,000) (1,270,000)
(3,700,000) Total liabilities a (5,800,000) (2,470,000)

ld differ on the parent's

15,000 135,000
600,000
260,000
60,000 200,000
800,000

130,000
930,000

1,080,000

nsolidation

e create in the consolidated

Saldo
K Konsolidasi

(980,000)
410,000
210,000
0
(360,000)

(1,080,000)
(360,000)
5,000 90,000
(1,350,000)

125,000
600,000
 840,000
620,000 130,000
50,000
135,000
800,000
10,000 1,310,000
5,000 25,000
3,830,000

(1,250,000)
(300,000)
(500,000)
(300,000)
(1,350,000)
(3,700,000)
Aaron Company outstanding common stock 100%
acquired by Mitchell Company, Jan,1, 2003
Michael Company's $1 par common stock issued 20,000
for acquisition - number of shares
Fair market value of Michael stock - per share 30.00
Aaron' reported retained earnings at date of purchase (1/1/2003) 230,000
Book value for Aaron at date of purchase (1/1/2003) 360,000
Aaron's royalty agreements undervalued by 60,000
Remaining life of Aaron's royalty agreements - years 6
Fair value of Aaron's trademark $ 50,000
Remaining life of Aaron's trademark - years 10

Mtchell Aaron
Company Company
12/31/2007 12/31/2007
Revenues (610,000) (370,000)
Cost of goods sold 270,000 140,000
Amortization expense 115,000 80,000
Dividend income (5,000) 0
Net income (230,000) (150,000)

Retained earnings, 1/1/07 (880,000) (490,000) S 490,000 C

Net income (230,000) (150,000)
Dividends paid 90,000 5,000
Retained earnings, 12/31/07 (1,020,000) (635,000)

Cash 110,000 15,000

Receivables 380,000 220,000
Inventory 560,000 280,000
Investment in Aaron Company 470,000 0 C $ 200,000 S

Copyrights 460,000 340,000

Royalty agreements 920,000 380,000
Trademark
Total assets 2,900,000 1,235,000

Liabilities (780,000) (470,000)

Preferred Stock (300,000) 0
Common stock (500,000) (100,000) S 100,000
Additional paid-in capital (300,000) (30,000) S 30,000
Retained earnings, 12/31/13 (1,020,000) (635,000)
Total liabilities and equity (2,900,000) (1,235,000)

a. Using the preceding inf, prepare a consld. worksheet for these two companies as of Dec 31, 2007
b. Assuming that Mtichell applied the equity method to this investment, what account balances would
differ on the parent's individual statement?
c. Assuming that Mitchell applied the equity method to this investment, what changes would be
necessary in the consolidation entries on a Dec 31, 2007 worksheet?
d. Assuming that Mitchell applied the equity method to this investment, what changes would be
create in the consolidated figures to be reported by this combination?

Consideration Transferred 20,000 30.00 600,000.00

NB aset bersih 360,000
CT > NB 240,000.00
Penyesuaian NW
Royalty Agreement 60,000
Trademark $ 50,000
110,000
Goodwill 130,000.00

Peny. NW UE Amort/thn
Royalty Agreement 60,000 6 10000
Trademark 50000 10 5,000
Goodwill 130,000.00 0
Total 15000

Jurnal C= Kenaikan LD Amortisasi

LD 1/1/2007 LD 1/1/2003
490,000 230,000 60000 200,000
$ 200,000

-
es as of Dec 31, 2007
ccount balances would

hanges would be

hanges would be

amort. 03-06
40000
20,000

60000