15) on 1/1/2017 Assume that Home Corp. acquired 25% of the Ordinary shares of South Corp for $300,000 During 2017, South Corp. reported net income of $160,000 and paid total dividends $60,000. If Home uses the equity method to account for its investment, the balance in the gain from investment account on December 31, 2017, will be

Select one: a. 40,000 b. 60,000 c. 100,000 d. 160,000

16) on 1/1/2017 Assume that Home Corp. acquired 25% of the ordinary shares of South Corp for $300,000 During 2017, South Corp. reported net income of $160,000 and paid total dividends $60,000. If Home uses the equity method to account for its investment, the credit side in the journal entry to record gain from investment account on December 31, 2017, will be Select one: a. investment 40,000 b. gain from investment 40,000 c. gain from investment 60,000 d. cash 40,000

17) on 1/1/2017 Assume that Home Corp. acquired 25% of the ordinary shares of South Corp for $300,000 During 2017, South Corp. reported net income of $160,000 and paid total dividends $60,000. If Home uses the equity method to account for its investment, the debt side in the journal entry to record gain from investment account on December 31, 2017, will be

Select one: a. investment 160,000 b. investment 40,000 c. cash 40,000 d. cash 160,000