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Strickland Company sells inventory to its parent, Carter Company, at a profit during 2020. Carter sells one-third of the inventory in 2020. In the consolidation worksheet for 2020, which of the following accounts would be debited to eliminate unrecognized intra-entity gross profit with regard to the 2020 intra-entity transfers?
a. Retained earnings
b. Cost of the good sold
c. Inventory
d. Investment in Strickland company
e. Sales
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Strickland Company sells inventory to its parent, Carter Company, at a profit during 2020. Carter se...
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