What amount of gain or loss would YOO-YOO Corporation report in its income statement for the year ended December 31, 2022, related to its investment, if the fair value method of accounting was used?
What amount of gain or loss would YOO-YOO Corporation report in its income statement for the year ended December 31, 2022, related to its investment, if the fair value method of accounting was used?
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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#9
YOO-YOO Corporation has the following investment which was held throughout 2021–2022:
| Fair Value | ||||||
| Cost | 12/31/21 | 12/31/22 | ||||
| Equity investment |
$836000 |
$1128000 |
$1060000 |
What amount of gain or loss would YOO-YOO Corporation report in its income statement for the year ended December 31, 2022, related to its investment, if the fair value method of accounting was used?
$292000 gain.
$68000 loss.
$68000 gain.
$224000 gain.
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