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At the beginning of the year, Flavo Inc. purchased 10,000 shares of Tastey Company common stock for $80 per share. $80 7. Tastey Company, which
At the beginning of the year, Flavo Inc. purchased 10,000 shares of Tastey Company common stock for $80 per share. $80 7. Tastey Company, which has issued 40,000 shares of stock, earned net income of 0,000 for the year and declared a cash dividend of $8 per share to stockholders. At the end of the year, Tastey Company stock sells for $85 per share. When Flavo Inc. prepares its balance sheet at the end of the year, what is the balance of the account for Long-Term Investment-Tastey Company? A. $800,000 B. $850,000 C. $880,000 D. $920,000
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