Question
Assume Dexter Corporation owns 1,000 shares (10%) of the 10,000 outstanding shares of Brown. Now assume Brown Corporation earns $720,000 and pays cash dividends of
Assume Dexter Corporation owns 1,000 shares (10%) of the 10,000 outstanding shares of Brown. Now assume Brown Corporation earns $720,000 and pays cash dividends of $240,000 during 2021.
What amount should Dexter show in the investment account at December 31, 2021 if the beginning of the year balance in the account was $960,000?
| $1,176,000 | ||
| $960,000 | ||
| $1,104,000 | ||
| $1,440,000 |
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Financial Accounting
Authors: Michelle L. Hanlon, Robert P. Magee, Glenn M. Pfeiffer, Thomas R. Dyckman
6th Edition
9781618533111
