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1) Prepare the following consolidation and equity accounting entries for Purple Co. and its subseries and Associate for the year ended 31 December 20X5.
CJE1: Elimination of investment in Yellow Co.;
Dr. share capital (Yellow Co.)
$ 3,120,000
Dr. Retained Earnings (Yellow Co.)
$ 3,510,000
Dr. Goodwill
$ 1,560,000
Cr. Investment In (Yellow Co.)
$ 8,580,000
Cr. Non-Controlling Interest (NCI)
$ 1,610,000
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