On January 1, Poitras Ltée, a public company, purchases 20% of Hook Corporation's common shares for $250,000

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On January 1, Poitras Ltée, a public company, purchases 20% of Hook Corporation's common shares for $250,000 for strategic purposes. For the year ended December 31, Hook reports profit of $220,000 and pay a $15,000 cash dividend. The fair value of Poitras' investment in Hook at December 31 is $270,000. Prepare journal entries required assuming Poitras
(a) Does not have significant influence over Hook, and
(b) Does have significant influence over Hook.
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Accounting Principles Part 3

ISBN: 978-1118306802

6th Canadian edition Volume 1

Authors: Jerry J. Weygandt, Donald E. Kieso, Paul D. Kimmel, Barbara Trenholm, Valerie Kinnear, Joan E. Barlow

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