Control Alt Design acquired 30% of the outstanding common stock of Walter Company on January 1, 2012, by paying $800,000 for the 45,000 shares. Walter declared and paid $0.30 per share cash dividends on March 15, June 15, September 15, and December 15, 2012. Walter reported net income of $320,000 for the year. At December 31, 2012, the market price of Walter common stock was $24 per share.

Jan 1

March 15

June 15

Sept 15

Dec 15

Dec 31

(b) Jan 1

March 15

June 15

Sept 15

Dec 15

Dec 31