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Business, 07.03.2020 03:44 tfornwalt4390

Upstream Intercompany Building Transactions Shiek Shoes sold an administrative building to its parent, Pearl Industries, on January 1, 2018, for $8,000,000. At the time of sale, the building was carried on Shiek’s books at original cost of $10,000,000, with $8,500,000 of accumulated depreciation. At the date of sale, the building had a remaining life of 20 years, and straight-line depreciation is appropriate. It is now December 31, 2020, the end of the accounting year, and you are preparing the working paper to consolidate the trial balances of Pearl and Shiek. Pearl still owns the building. Required a. Prepare the required eliminating entries for this intercompany building sale for the December 31, 2020, consolidation working paper. Enter numerical answers using all zeros (do not abbreviate answers to millions or thousands).

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Upstream Intercompany Building Transactions Shiek Shoes sold an administrative building to its paren...
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