Question

on january 1, 2020 combs corporation sold a tract of its land to its 100% owned subsidiary tiniton inc for 550,000 the land originally cost combs 440,000 what adjust would be made to the land acount

Answer 1

The intracompany transactions to be adjusted, so the difference to be credited is $110000.

What are intracompany and intercompany transactions?

An exchange of money between two subsidiaries of the same parent corporation. A supplier selling to a retailer who is also controlled by the same conglomerate is an example of an intracompany transaction. An intercompany transaction should not be confused with it.

A transaction involving two organizational entities is referred to as an intercompany transaction. You can track and reconcile intercompany transaction details across accounts and custom dimensions with the help of financial management.

An effective technique to locate, document, and reconcile discrepancies between intercompany accounts is made available via the Intercompany Transactions module. Transactions between companies can be entered, matched, posted, and verified. If you have access to transaction detail at any time, you may often reconcile intercompany account disparities and lessen the impact they have on the closing cycle.

To learn more about intracompany transactions, visit:

https://brainly.com/question/15843842

#SPJ4