Elimination of Unrealized.pptVIP

Elimination of Unrealized Profit on Intercompany Sales of Inventory Learning Objectives Describe the financial reporting objectives for intercompany sales of inventory. Determine the amount of intercompany profit, if any, to be eliminated from the consolidated statements. Understand the concept of eliminating 100% of intercompany profit not realized in transactions with outsiders, and know the authoritative position. Distinguish between upstream and downstream sales of inventory. Learning Objectives Compute the noncontrolling interest in consolidated net income for upstream and downstream s