Question
Diamond Investments, Inc. purchased 40% of the common stock of Ivory Corporation on March 1, 2016. Ivory Corporation reports a net income of $675,000 for
Diamond Investments, Inc. purchased 40% of the common stock of Ivory Corporation on March 1, 2016. Ivory Corporation reports a net income of $675,000 for the year 2017. Which of the following is true of the balance sheet on December 31, 2017?
A. Total liabilities will decrease.
B. Total equity will increase.
C. Total assets will remain unchanged.
D. Cash will increase.
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Financial Accounting Version 3.1
Authors: Joe Ben Hoyle, C.J. Skender, Leah Kratz
1st Edition
1453339442, 9781453339442
