Question
A subsidiary company declared a cash dividend. If its parent company uses the equity method to record its investment in the subsidiary, which of the
A subsidiary company declared a cash dividend. If its parent company uses the equity method to record its investment in the subsidiary, which of the following items in the parent's books will increase because of this dividend? a. Dividend income. c. Investment in subsidiary. b. Equity in net income of subsidiary. d. Net income.
e. (None of the above)
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Financial Accounting Tools for Business Decision Making
Authors: Paul D. Kimmel, Jerry J. Weygandt, Donald E. Kieso
8th edition
978-1118953815, 978-1118953907
