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At the beginning of the year, Goldman Company purchased 10,000 of the 40,000 shares of common stock of Buchanan Corporation at $40 per share as
At the beginning of the year, Goldman Company purchased 10,000 of the 40,000 shares of common stock of Buchanan Corporation at $40 per share as a long-term investment. Goldman can exercise significant influence over Buchanan and properly records the investment using the equity method. The records of Buchanan Corporation showed the following by the end of the year: Net Income Dividends Paid Market Price per Share $500,000 $ 200,000 $ 38 What amount should Goldman Company report in its year-end balance sheet for its investment in Buchanan? A company purchased bonds on January 1, 2021, for $207,913. This price represents a market rate of 9% on bonds that have a face amount of $200,000, have a stated rate of 10%, pay semiannual interest, and mature in 5 years. For what amount would these bonds be recorded when purchased? Multiple Choice $7,913. $207,913. $200,000. $220,000
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