Tribbs sold one of its products to Quicker for resale to its customers. The details include the following:
Tribbs sale price was $200,000.
Tribbs cost to make the product was $180,000.
Quicker has sold 50% of the product to its customers during the year with the remaining $100,000 still in inventory.
Quicker sold the product for $130,000.
Quicker made $110,000 in profits for the year.
Submit a report outlining your findings for your next combined meeting. Include the following:
To record the transaction:
Consolidated worksheet entry at 12/31/05
intercompany sales entry
intercompany profits entry