On December 31, 2016, the separate company financial statements for Pam Corporation and its 70 percent owned subsidiary, Sun Corporation, had the following account balances related to dividends (in thousands) Pam Sun Dividends for 2016 $2,400 $1,600 Dividends payable at December 31, 2016 1,200 400 ...

1 2400 the dividends of Pam 2 ...

On December 31, 2016, the separate-company financial statements for Pam Corporation and its 70 percent-owned subsidiary, Sun

Question:

On December 31, 2016, the separate-company for Pam and its 70 percent-owned subsidiary, Sun had the following account balances related to dividends (in thousands):
______________________________________ Pam _____________ Sun
Dividends for 2016 ................................. $2,400 ................. $1,600
Dividends payable at December 31, 2016 .......... 1,200 .................... 400
Required
1. At what amount will dividends be shown in the consolidated retained earnings statement?
2. At what amount should dividends payable be shown in the consolidated balance sheet?
Financial Statements
Financial statements are the standardized formats to present the financial information related to a business or an organization for its users. Financial statements contain the historical information as well as current period’s financial... Corporation
A Corporation is a legal form of business that is separate from its owner. In other words, a corporation is a business or organization formed by a group of people, and its right and liabilities separate from those of the individuals involved. It may...