Gold Co. received dividends from its common stock investments during the year ended December 31 as follows: * A cash dividend totaling $50,000 from its trading security investment in Hico Corporation, when the market price of Hico's shares was $40 per share * A cash dividend of $20,000 from Garden Corp. in which Gold Co. owns a 32% interest How much dividend income should Gold report in its income statement? Select one: a. $30,000 b. $0 c. $50,000 d. $20,000

Gold Co. received dividends from its common stock investments during the year ended December 31 as follows: * A cash dividend totaling $50,000 from its trading security investment in Hico Corporation, when the market price of Hico's shares was $40 per share * A cash dividend of $20,000 from Garden Corp. in which Gold Co. owns a 32% interest How much dividend income should Gold report in its income statement? Select one: a. $30,000 b. $0 c. $50,000 d. $20,000

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Question

Gold Co. received dividends from its common stock investments during the year ended December 31 as follows:

*	A cash dividend totaling $50,000 from its trading security investment in Hico Corporation, when the market price of Hico's shares was $40 per share
*	A cash dividend of $20,000 from Garden Corp. in which Gold Co. owns a 32% interest

How much dividend income should Gold report in its income statement?

Select one:

a. $30,000

b. $0

c. $50,000

d. $20,000

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