On january 1, 20x4, pony company acquired 25% of stallion company's common stock at underlying book value of $200,000. stallion has 80,000 shares of $10 par value, 6 percent cumulative preferred stock outstanding. no dividends are in arrears. stallion reported net income of $270,000 for 20x4 and paid total dividends of $140,000. pony uses the equity method to account for this investment. based on the preceding information, what amount would pony company receive as dividends from stallion for the year?

Read the following scenario and answer the question in 5-10 sentences. you are the owner of a small business that is a defendant in a lawsuit in federal court. you received bad news from your lawyer that the judge did not allow certain documents to be admitted as evidence in court and that the jury reached a $50,000 verdict in favor of the plaintiff. your lawyer tells you that it is within your legal right to hire him to file an appeal with the united states court of appeals. if the appellate court rules in your favor, you may be able to avoid paying part or all of the $50,000. evaluate your lawyer’s suggestion about appealing the decision.