QUESTION 10 P purchases 100 percent of S Company on January 1, 20X2, when P's retained earnings balance is $210,000 and S's RE balance is $120,000. During 20X2, S reports $20,000 of net income and declares $8,000 of dividends. P reports $125,000 of separate operating earnings plus $20,000 of equity-method income from its 100 percent interest in S; P declares dividends of $35,000. What is P's retained earnings balance on December 31, 20X2 in its individual RE statement? $305.000 $320,000 $410,000 $465,000

QUESTION 10 P purchases 100 percent of S Company on January 1, 20X2, when P's retained earnings balance is $210,000 and S's RE balance is $120,000. During 20X2, S reports $20,000 of net income and declares $8,000 of dividends. P reports $125,000 of separate operating earnings plus $20,000 of equity-method income from its 100 percent interest in S; P declares dividends of $35,000. What is P's retained earnings balance on December 31, 20X2 in its individual RE statement? $305.000 $320,000 $410,000 $465,000

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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