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Assume that, on January 1, 2021, Matsui Co. paid $2,376,000 for its investment in 66,000 shares of Yankee Inc. Further, assume that Yankee has 330,000
Assume that, on January 1, 2021, Matsui Co. paid $2,376,000 for its investment in 66,000 shares of Yankee Inc. Further, assume that Yankee has 330,000 total shares of stock issued. The book value and fair value of Yankee's identifiable net assets were both $660,000 at January 1, 2021. The following information pertains to Yankee during 2021: Net income $330,000 Dividends declared and paid Market price of common stock on 12/31/2021 $ 99,000 $ 38/share What amount would Matsui report in its year-end 2021 balance sheet for its investment in Yankee? 13 Multiple Choice $2,805,000. $2,607,000. $2,422,200. None of these answer choices are correct. 13
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