On January 1, 2022, Nakamura Corporation had cash and share capital of Yen 75,000,000. At that date, the company had no other asset, liability, or equity balances. On January 3, 2022, it purchased for cash Yen 25,000,000 of equity securities that it classified as non-trading. It received cash dividends of Yen 5,200,000 during the year on these securities. In addition, it has an unrealized holding gain on these securities of Yen 7,800,000 net of tax. Determine the following amounts for 2022: a) Net income. b) Comprehensive income. c) Other Comprehensive Income, and d) Accumulated other comprehensive income (end of 2022).
On January 1, 2022, Nakamura Corporation had cash and share capital of Yen 75,000,000. At that date, the company had no other asset, liability, or equity balances. On January 3, 2022, it purchased for cash Yen 25,000,000 of equity securities that it classified as non-trading. It received cash dividends of Yen 5,200,000 during the year on these securities. In addition, it has an unrealized holding gain on these securities of Yen 7,800,000 net of tax. Determine the following amounts for 2022: a) Net income. b) Comprehensive income. c) Other Comprehensive Income, and d) Accumulated other comprehensive income (end of 2022).
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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On January 1, 2022, Nakamura Corporation had cash and share capital of Yen 75,000,000. At that date, the company had no other asset, liability, or equity balances. On January 3, 2022, it purchased for cash Yen 25,000,000 of equity securities that it classified as non-trading. It received cash dividends of Yen 5,200,000 during the year on these securities. In addition, it has an unrealized holding gain on these securities of Yen 7,800,000 net of tax. Determine the following amounts for 2022: a) Net income. b) Comprehensive income. c) Other Comprehensive Income, and d) Accumulated other comprehensive income (end of 2022).
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