Question
BB Company has investment in shares of MALL Company which are deemed to be non-trading (i.e., they are not held for trading purposes). The details
BB Company has investment in shares of MALL Company which are deemed to be non-trading (i.e., they are not held for trading purposes).
The details of the shares are as follows:
Amount: 20,000 Ordinary Shares
Purchase Price: $60 each
Purchase Date: I January 2020
On December 31 2020, the shares are valued at $70 each.
The shares pay a dividend of $7.00 per share
WHAT IS THE IMPACT ON BB company' 2020 COMPREHENSIVE INCOME OF ITS PURCHASE OF SHARES IN MALL?
Select one:
a. Comprehensive Income is $360,000 higher
b. Comprehensive Income is $320,000 higher
c. Comprehensive Income is $300,000 higher
d. Comprehensive Income is $340,000 higher
e. None of these answers
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