16. If Goebel Company acquired a 30% interest in Dobbs Company on December 31, 2018 for $430,000 and the equity method of accounting for the investment were used, the amount of the debit to Equity Investments (Dobbs) would have been

a. $540,000.

b. $430,000.

c. $345,000.

d. $417,000.

17. If Goebel Company acquired a 20% interest in Dobbs Company on December 31, 2018 for $290,000 and during 2019 Dobbs Company had net income of $150,000 and paid a cash dividend of $60,000, applying the fair value method would give a debit balance in the Equity Investments (Dobbs) account at the end of 2019 of

a. $230,000.

b. $290,000.

c. $320,000.

d. $308,000.

18. If Goebel Company acquired a 30% interest in Dobbs Company on December 31, 2018 for $440,000 and during 2019 Dobbs Company had net income of $150,000 and paid a cash dividend of $60,000, applying the equity method would give a debit balance in the Equity Investments (Dobbs) account at the end of 2019 of

a. $440,000.

b. $467,000.

c. $485,000.

d. $422,000.