E3-5

Disclosure of consolidated dividends

On December 31, 2016, the separate-company financial statements for Pam Corporation and its 70 percent-owned subsidiary, Sun Corporation, had the following account balances related to dividends (in thousands):

	Pam	Sun
Dividends for 2016	$ 2,400	$ 1,600
Dividends payable at December 31, 2016	$ 1,200	$ 400

Required

1. At what amount will dividends be shown in the consolidated retained earnings statement?

2. At what amount should dividends payable be shown in the consolidated balance sheet?