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Jones Company elected to use the cumulative earnings approach for distributions from its equity-method investment purchased at the beginning of 20X1. During 20X1, Jones earned

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Jones Company elected to use the cumulative earnings approach for distributions from its equity-method investment purchased at the beginning of 20X1. During 20X1, Jones earned $200,000 on the investment and received $210,000 in dividends. In the investing activities section of the statement of cash flows prepared under the direct method, Jones reports dividends of Multiple Choice $210,000. $200,000 $10,000. $0

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