Transaction in the consolidated financial statements


If ABC Company sells engineering services to its wholly-owned subsidiary XYZ Corporation during the year for $75,000, the entry to properly report the transaction in the consolidated financial statements would:

a. Reduce engineering revenue and increase engineering expense

b. Reduce engineering revenue and reduce engineering expense

c. Increase engineering revenue and reduce engineering expense

d. Increase engineering revenue and increase engineering expense

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Accounting Basics: Transaction in the consolidated financial statements
Reference No:- TGS054962

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