Business, 13.12.2019 05:31 Itslegit3

Parker owned all of odom inc. although the investment in odom inc. account had a balance of $834,000, the subsidiary's 12,000 shares had an underlying book value of only $56 per share. on january 1, 2011, odom issued 3,000 new shares to the public for $70 per share. how does this transaction affect the investment in odom inc. account? a) it should be decreased by $141,120.b) it should be increased by $176,400.c) it should be increased by $48,000.d) it should be decreased by $128,400.e) it is not affected since the shares were sold to outside parties.

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Parker owned all of odom inc. although the investment in odom inc. account had a balance of $834,000...

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