12 On 1/1/2018, P Company acquired 80% of S Company for 400000 JD. Book value of S on 1/1/2018 was consisted of common stock of 257000 and Retained earnings of ????. During 2018, P recorded income 20000 JD and dividends 5000 JD. During 2019, P recoded income 40000 JD and 8000 dividends. . Retained earnings on 31/12/2019 is 300000 JD. Compute investment balance on 31/12/2019 (do not forget: it is the same investment balance on 1/1/2020). Select one: a. 445600 b. 441600 c. 437600 d. 433600
12 On 1/1/2018, P Company acquired 80% of S Company for 400000 JD. Book value of S on 1/1/2018 was consisted of common stock of 257000 and Retained earnings of ????. During 2018, P recorded income 20000 JD and dividends 5000 JD. During 2019, P recoded income 40000 JD and 8000 dividends. . Retained earnings on 31/12/2019 is 300000 JD. Compute investment balance on 31/12/2019 (do not forget: it is the same investment balance on 1/1/2020). Select one: a. 445600 b. 441600 c. 437600 d. 433600
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
12
On 1/1/2018, P Company acquired 80% of S Company for 400000 JD. Book value of S on 1/1/2018 was consisted of common stock of 257000 and Retained earnings of ????. During 2018, P recorded income 20000 JD and dividends 5000 JD. During 2019, P recoded income 40000 JD and 8000 dividends. . Retained earnings on 31/12/2019 is 300000 JD. Compute investment balance on 31/12/2019 (do not forget: it is the same investment balance on 1/1/2020).
Select one:
a. 445600
b. 441600
c. 437600
d. 433600
Expert Solution
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
Step by step
Solved in 2 steps with 2 images
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.Recommended textbooks for you
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON
Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education
Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education