Port Company purchased 30,000 of the 100,000 outstanding shares of Sund Company common stock on January 1,

Question:

Port Company purchased 30,000 of the 100,000 outstanding shares of Sund Company on January 1, 20X2, for $180,000. The purchase price was equal to the book value of the shares purchased. Sund reported the following:

Required
Compute the amounts Port Company should report as the carrying values of its investment in Sund Company at December 31, 20X2, 20X3, and20X4.

Common Stock
Common stock is an equity component that represents the worth of stock owned by the shareholders of the company. The common stock represents the par value of the shares outstanding at a balance sheet date. Public companies can trade their stocks on...