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Gilman Company purchased 40% of the common stock of Burke Corporation on January 1, 2017, for $4,000,000. The records of Burke Corporation showed the following
Gilman Company purchased 40% of the common stock of Burke Corporation on January 1, 2017, for $4,000,000. The records of Burke Corporation showed the following on December 31, 2017: 2017 net income: $575,000 Dividends declared and paid to shareholders during 2017: $30,000 Market price per share: $42
What is the value of the investment in Burke on Gilman Companys December 31, 2017 balance sheet?
| $3,800,000 |
| $4,000,000 |
| $4,218,000 |
| $4,124,000 |
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