Hatch Co. uses the equity method to account for investments in common stock. What accounting should be
Question:
Hatch Co. uses the equity method to account for investments in common stock. What accounting should be made for dividends received in excess of Hatch’s share of investee’s earnings subsequent to the date of investment?
Fantastic news! We've Found the answer you've been seeking!
Step by Step Answer:
Answer rating: 60% (10 reviews)
Dividends in excess of earn...View the full answer
Answered By
Mary Boke
As an online tutor with over seven years of experience and a PhD in Education, I have had the opportunity to work with a wide range of students from diverse backgrounds. My experience in education has allowed me to develop a deep understanding of how students learn and the various approaches that can be used to facilitate their learning. I believe in creating a positive and inclusive learning environment that encourages students to ask questions and engage with the material. I work closely with my students to understand their individual learning styles, strengths, and challenges to tailor my approach accordingly. I also place a strong emphasis on building strong relationships with my students, which fosters trust and creates a supportive learning environment. Overall, my goal as an online tutor is to help students achieve their academic goals and develop a lifelong love of learning. I believe that education is a transformative experience that has the power to change lives, and I am committed to helping my students realize their full potential.
5.00+
4+ Reviews
21+ Question Solved
Related Book For
Intermediate Accounting
ISBN: 978-0470423684
13th Edition
Authors: Donald E. Kieso, Jerry J. Weygandt, And Terry D. Warfield
Question Posted:
Students also viewed these Accounting questions
-
The reporting treatment for investments in common stock depends on the level of ownership and the ability to influence the investee's policies. The reporting treatment may even change over time as...
-
Taft Corporation uses the equity method to account for its 25% investment in Flame, Inc., which it made on January 1, 2014. During 2014, Taft received dividends of $30,000 from Flame and recorded...
-
Mainmont Industries uses the equity method to account for its long-term equity investments from affiliates. The following information from the financial statements of Mainmont refers to an investment...
-
Find the limit L. Then use the - definition to prove that the limit is L. lim x4 x
-
Hawthorne Golf, the maker of a sought-after set of golf clubs, was formed in 2012. The selling price for each golf club set is $1,700, variable production costs are $900 per unit, fixed production...
-
What are some of the advantages and disadvantages of having formalized procedures for improving the effectiveness or efficiency of innovation?
-
In what way do opportunity costs affect the decision to enlarge a facility through the purchase of new assets? LO.1
-
Evaluating an Ethical Dilemma: Earnings, Inventory Purchases, and Management Bonuses Micro Warehouse was a computer software and hardware online and catalog sales company. * A Wall Street Journal...
-
A corporation is dissolved upon the effective date of the articles of dissolution. O True O False
-
Andrew-Carter, Inc. (A-C), is a major Canadian producer and distributor of outdoor lighting fixtures. Its products are distributed throughout South and North America and have been in high demand for...
-
When the equity method is applied, what disclosures should be made in the investors financial statements?
-
Elizabeth Corp. has an investment with a carrying value (equity method) on its books of $170,000 representing a 30% interest in Borg Company, which suffered a $620,000 loss this year. How should...
-
Find equations of (a) The tangent plane (b) The normal line to the given surface at the specified point. x 2 + 2y 2 3z 2 = 3, (2, 1, 1)
-
Which industries gain and which industries lose from the availability of cheap natural gas produced from shale deposits? Joseph Schumpeter, an Austrian-born economist who emigrated to the United...
-
Did the value of the Canadian dollar rise or fall between Tuesday and Wednesday?
-
As vice president for community relations, you want to explore the possibility of developing service learning programs with several nearby colleges and universities. Using Figure 2.5, suggest the...
-
Your organization initiated a project to raise money for an important charity. Assume that there are 1,000 people in your organization. Also, assume that you have six months to raise as much money as...
-
A \(20-\mathrm{cm}\)-long rod, with uniform linear charge density \(100 \mathrm{nC} / \mathrm{cm}\), is set up symmetrically on the \(x\) axis. What are the magnitude and direction of the electric...
-
Prepare a Pareto chart using the following data on causes of adjustments to domestic and foreign customers billings during the month of January. What does this chart indicate? Causes of Defects...
-
What are the principal differences among asset liquidity management, liability management, and balanced liquidity management?
-
(a) What is the average kinetic energy of a gas molecule at 20.0C (room temperature)? (b) Find the rms speed of a nitrogen molecule (N 2 ) at this temperature. Strategy for (a) The known in the...
-
Explain why cash outflows during the period for purchases and salaries are not specifically reported on a statement of cash flows prepared using the indirect method.
-
Explain why a $50,000 increase in inventory during the year must be included in computing cash flows from operating activities under both the direct and indirect methods.
-
Explain why a $50,000 increase in inventory during the year must be included in computing cash flows from operating activities under both the direct and indirect methods.
-
Production numbers for 2 shifts are shown. The shift supervisor of Shift 2 insists to the production manager that her operators are more productive than the ones on Shift 1. Using a confidence level...
-
In a class, the scores that students got are as shown. What are the 25, 50, 75 and 100th percentiles for the data? 84 84 98 80 89 83 85 56 85 84 84 74 84 81 83 80 45 86 67 79 81 78 76 85 83 77 86 83...
-
Number of points made by Teams A and B are shown. Which statement is true based on running the F-Test Two-Sample for Variances in the Data Analysis pack in Excel? Use a confidence level of 10% to...
Study smarter with the SolutionInn App