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What is the balance in the capital dividend accbu

What is the balance in the capital dividend accbu

FINANCIAL ACCOUNTING
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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Gains Inc. had a balance in its capital dividend account of $150,000 at January 1, 2020. During the 2020 year, the company had a taxable capital gain of $50,000, allowable capital losses of $30.000, received a capital dividend of $35.000 from a subsidiary, and paid eligible dividends of $45,000. On November 15, 2020, a capital dividend of $32,000 was paid, and the appropriate election was filed. What is the balance in the capital dividend account at December 31, 2020? O A S203,000 O B. $173,000 OC. $128.000 O D. $138,000
Transcribed Image Text:Gains Inc. had a balance in its capital dividend account of $150,000 at January 1, 2020. During the 2020 year, the company had a taxable capital gain of $50,000, allowable capital losses of $30.000, received a capital dividend of $35.000 from a subsidiary, and paid eligible dividends of $45,000. On November 15, 2020, a capital dividend of $32,000 was paid, and the appropriate election was filed. What is the balance in the capital dividend account at December 31, 2020? O A S203,000 O B. $173,000 OC. $128.000 O D. $138,000
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