subject
Business, 30.08.2021 21:30 Affousietta

An investor company owns 40% of the outstanding common stock of an investee company, which allows the investor to exercise significant influence over the investee. The Equity Investment was reported at $950,000 as of the end of the previous year. During the year, the investor received dividends of $100,000 from the investee. The investee reports the following income statement for the year: Revenues $2,300,000
Expenses 1,800,000
Net income 500,000
Other comprehensive income 100,000
Comprehensive income $600,000

Required:
a. How much equity income should the investor report in its net income (i. e., as part of the current year income statement)?
b. What amount should the investor report for the Equity Investment in its balance sheet at the end of the year?

ansver
Answers: 2

Another question on Business

question
Business, 22.06.2019 07:30
What is the relationship between the national response framework and the national incident management system (nims)? a. the national response framework replaces the nims, which is now obsolete. b. the response protocols and structures described in the national response framework align with the nims, and all nims components support response. c. the nims relates to local, state, and territorial operations, whereas the nrf relates strictly to federal operations. d. the nims and the national response framework cover different aspects of incident management—the nims is focused on tactical planning, and the national response framework is focused on coordination.
Answers: 3
question
Business, 22.06.2019 21:10
Acompany has two products: standard and deluxe. the company expects to produce 36,375 standard units and 62,240 deluxe units. it uses activity-based costing and has prepared the following analysis showing budgeted cost and cost driver activity for each of its three activity cost pools.budgeted activity of cost driver activity cost pool budgeted cost standard deluxe activity 1 $ 93,000 2,500 5,250 activity 2 $ 92,000 4,500 5,500 activity 3 $ 87,000 3,000 2,800 what is the overhead cost per unit for the standard units? what is the overhead cost per unit for the deluxe units? (round activity rate and cost per unit answers to 2 decimal places.)activity expected costs expected activity driver activity rate1 93,000 2 92,000 3 87,000 standard activity activity driver activity rate allocated costs1 2 3
Answers: 2
question
Business, 23.06.2019 00:50
Mr. drucker uses a periodic review system to manage the inventory in his dry goods store. he likes to maintain 15 sacks of sugar on his shelves based on the annual demand figure of 225 sacks. it costs $2 to place an order for sugar and costs $1 to hold a sack in inventory for a year. mr. drucker checks inventory one day and notes that he is down to 9 sacks; how much should he order?
Answers: 1
question
Business, 23.06.2019 02:00
Upper a fish farm raises salmon and trout.a fish farm raises salmon and trout. the marginal cost of producing each of these products increases as more is produced. draw the firm's ppf. label it ppf1. the fish farmfish farm adopts a new technology that allows it to use fewer resources to feed the salmonfeed the salmon. draw a ppf that shows the impact of the new technology. label it ppf2.
Answers: 2
You know the right answer?
An investor company owns 40% of the outstanding common stock of an investee company, which allows th...
Questions
question
Social Studies, 22.07.2019 09:00
question
Social Studies, 22.07.2019 09:00
question
Mathematics, 22.07.2019 09:00
question
Mathematics, 22.07.2019 09:00