2 Wonder Company purchased 35,000 of the 100,000 outstanding shares of Elton Company common stock on January 1, 20X2, for $200,000. The purchase price was equal 3 to the book value of the shares purchased. 4 5 6 7 Elton reported the following: 17 18 19 Year 20 21 22 23 24 8 20X2 9 20X3 10 20X4 1 2 Required: 13 Compute the amounts Wonder Company should report as the carrying values of its investment in Elton Company at December 31, 20X2, 20X3, and 20X4. 14 Net Income Elton Shares Outstanding 25000 50000 45000 15 Note: Use cells A2 to A13 from the given information to complete this question. 16 Year 20X2 20X3 20X4 Dividends Elton Shares Purchased by Wonder 10000 15000 6000 Puchase Price Ownership Percentage Elton's Net Income Elton's Dividends Wonder's Carrying Value of Investment in Elton
2 Wonder Company purchased 35,000 of the 100,000 outstanding shares of Elton Company common stock on January 1, 20X2, for $200,000. The purchase price was equal 3 to the book value of the shares purchased. 4 5 6 7 Elton reported the following: 17 18 19 Year 20 21 22 23 24 8 20X2 9 20X3 10 20X4 1 2 Required: 13 Compute the amounts Wonder Company should report as the carrying values of its investment in Elton Company at December 31, 20X2, 20X3, and 20X4. 14 Net Income Elton Shares Outstanding 25000 50000 45000 15 Note: Use cells A2 to A13 from the given information to complete this question. 16 Year 20X2 20X3 20X4 Dividends Elton Shares Purchased by Wonder 10000 15000 6000 Puchase Price Ownership Percentage Elton's Net Income Elton's Dividends Wonder's Carrying Value of Investment in Elton
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
L 2
Transcribed Image Text:1
2
3
4
5
6
Wonder Company purchased 35,000 of the 100,000 outstanding shares of Elton Company common stock on January 1, 20X2, for $200,000. The purchase price was equal
to the book value of the shares purchased.
7
8
20X2
9 20X3
10 20X4
Elton reported the following:
17
18
19
20
21
22
23
24
25
26
Year
Net Income
11
12 Required:
13 Compute the amounts Wonder Company should report as the carrying values of its investment in Elton Company at December 31, 20X2, 20X3, and 20X4.
14
Elton Shares
Outstanding
25000
50000
45000
15 Note: Use cells A2 to A13 from the given information to complete this question.
16
Year
20X2
20X3
20X4
Dividends
Elton Shares
Purchased by
Wonder
10000
15000
6000
Puchase Price
Ownership
Percentage
Elton's Net
Income
Elton's
Dividends
Wonder's Carrying Value
of Investment in Elton
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