On December 19, 2018, we announced that we entered into a definitive agreement w

On December 19, 2018, we announced that we entered into a definitive agreement with GSK
under which we
… will combine our respective consumer healthcare businesses into a new
consumer healthcare joint venture that will operate globally under the GSK Consumer Healthcare name. In exchange for contributing our Consumer Healthcare business, we will receive a 32% equity stake in the company and GSK will own the remaining
a. How will Pfizer account for its 32% equity stake in GSK Consumer Healthcare?
b. If the joint venture distributes cash of $350 million in 2019 what will be the effect on Pfizer′s 2019 balance sheet and income statement?
c. Assume that the joint venture generated profit of $1,400 million in 2019. How will this affect
Pfizer′s 2019 income statement?
Include two sources