P acquired a 70% of S on January 1, 2020, for S380,000. During 2020 S had a net income of $30,000 and paid a cash dividend of $10,000. Applying the cost method would give a balance in the Investment account at the end of 2020 of: Select one: O $394,000 O $400,000 $380,000 $373,000

P acquired a 70% of S on January 1, 2020, for S380,000. During 2020 S had a net income of $30,000 and paid a cash dividend of $10,000. Applying the cost method would give a balance in the Investment account at the end of 2020 of: Select one: O $394,000 O $400,000 $380,000 $373,000

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

Pacquired a 70% of S on January 1, 2020, for S380,000. During 2020 S had a net income of $30,000 and
paid a cash dividend of $10,000. Applying the cost method would give a balance in the Investment account
at the end of 2020 of:
Select one:
$394,000
$400,000
O $380,000
$373,000

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