a.
To prepare: The journal entries to record the acquisition of the investment in KS.
b.
To prepare: The journal entry to record the receipt of the cash dividends.
c.
To prepare: The journal entries required to adjust the investment balance to fair value.
d.
To prepare: An analysis statement comparing the pre-tax income and
e.
To prepare: An analysis statement comparing the pre-tax income and cash flows related to the investment under the equity method and the fair value method, with an assuming that Douglas sold the investment for $5,000 000 on January 1 of the year after acquisition.
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Intermediate Accounting - Myaccountinglab - Pearson Etext Access Card Student Value Edition
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