20. Feldman, Inc. paid $400,000 to acquire all of the common stock of Howell Corp. on January 1, 2017. Howell's reported earnings for 2017 totaled $89,000, and it paid $25,000 in dividends during the year. The amortization of allocations related to undervalued assets was $6,000. Feldman's net income, not including the investment, was $535,000, and it paid dividends of $90,000. What amount would appear as Equity Income on the consolidated income statement? A) $83,000 B) $89,000 C) $95,000 D) $-0- 21. When a subsidiary is acquired sometime after the first day of the fiscal year, which of the following statements is true? A) No goodwill can be recognized. B) Excess cost over acquisition value is recognized at the beginning of the fiscal year. C) Income from subsidiary is not recognized until there is an entire year of consolidated operations. D) Income from subsidiary is recognized for the entire year. E) Income from subsidiary is recognized from date of acquisition to year-end