LaFevor Co. acquired 70% of the common stock of Dean Corp. on August 1, 2022. For 2022, Dean reported revenues of $960,000 and expenses of $780,000, all reflected evenly throughout the year. The annual amount of amortization related to this acquisition was $21,000. What is the effect of including Dean in consolidated net income for 2022? Multiple Choice $75,000. $66,250. $159,000. $126,000. $8,750.
LaFevor Co. acquired 70% of the common stock of Dean Corp. on August 1, 2022. For 2022, Dean reported revenues of $960,000 and expenses of $780,000, all reflected evenly throughout the year. The annual amount of amortization related to this acquisition was $21,000. What is the effect of including Dean in consolidated net income for 2022? Multiple Choice $75,000. $66,250. $159,000. $126,000. $8,750.
Chapter1: Financial Statements And Business Decisions
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Transcribed Image Text:LaFevor Co. acquired 70% of the
common stock of Dean Corp. on
August 1, 2022. For 2022, Dean
reported revenues of $960,000 and
expenses of $780,000, all reflected
evenly throughout the year. The
annual amount of amortization
related to this acquisition was
$21,000. What is the effect of
including Dean in consolidated net
income for 2022? Multiple Choice
$75,000. $66,250. $159,000.
$126,000. $8,750.
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