P Corporation paid $140,000 for a 70% interest in S Inc. on January 1, 2014, when S had Capital Stock of $50,000 and Retained Earnings of $100,000. Fair values of net assets were the same as recorded book values. During 2014, S had income of $40,000, declared dividends of $15,000, and paid $10,000 On December 31, 2014, the consolidated financial statements on 1/1/2014 will Show investment in S, inc amount? Select one: a. 140,000 b. 165,000 C. 150,000 d. 0

P Corporation paid $140,000 for a 70% interest in S Inc. on January 1, 2014, when S had Capital Stock of $50,000 and Retained Earnings of $100,000. Fair values of net assets were the same as recorded book values. During 2014, S had income of $40,000, declared dividends of $15,000, and paid $10,000 On December 31, 2014, the consolidated financial statements on 1/1/2014 will Show investment in S, inc amount? Select one: a. 140,000 b. 165,000 C. 150,000 d. 0

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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