Investment question On January 1, Western Corporation purchased a 25% equity investment in Eastern Corporation for $477,000. On December 31, Eastern paid a $12,400 dividend and reported a net profit of $86,000. The fair value of the shares on December 31 was $407,500. Determine the amount that Western reported as the investment in Eastern Corporation at December 31. (Do not use $ signs or commas in your answer. Do not round intermediary calculations. Only round final answers to 2 decimal places ex: 5.25)
Investment question On January 1, Western Corporation purchased a 25% equity investment in Eastern Corporation for $477,000. On December 31, Eastern paid a $12,400 dividend and reported a net profit of $86,000. The fair value of the shares on December 31 was $407,500. Determine the amount that Western reported as the investment in Eastern Corporation at December 31. (Do not use $ signs or commas in your answer. Do not round intermediary calculations. Only round final answers to 2 decimal places ex: 5.25)
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
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Investment question
On January 1, Western Corporation purchased a 25% equity investment in Eastern Corporation for $477,000. On December 31, Eastern paid a $12,400 dividend and reported a net profit of $86,000. The fair value of the shares on December 31 was $407,500. Determine the amount that Western reported as the investment in Eastern Corporation at December 31.
(Do not use $ signs or commas in your answer. Do not round intermediary calculations. Only round final answers to 2 decimal places ex: 5.25)
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