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MC Qu. 3-14 (Static) On January 1, Big Company acquires all... On January 1, Big Company acquires all of the common stock of Little Company

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MC Qu. 3-14 (Static) On January 1, Big Company acquires all... On January 1, Big Company acquires all of the common stock of Little Company by issuing 400,000 shares of $1 par value stock with a market value of $12 per stare. Lmle reports earnings of $864,000 and pays dividends of $240,000 in the year of acquisition. The amortiration of allocations related to the investment was 548,000 . Big's net iricorne, not including the investment, was $6,360,000, and it paid dividends of $400,000 On the consolidated firuncial statements, What amount is reported for Equay in Lutte Companys Earnings? MC Qu. 3-14 (Static) On January 1, Big Company acquires all... On January 1, Big Company acquires all of the common stock of Little Company by issuing 400,000 shares of $1 par value stock with a market value of $12 per stare. Lmle reports earnings of $864,000 and pays dividends of $240,000 in the year of acquisition. The amortiration of allocations related to the investment was 548,000 . Big's net iricorne, not including the investment, was $6,360,000, and it paid dividends of $400,000 On the consolidated firuncial statements, What amount is reported for Equay in Lutte Companys Earnings

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