On 1/1/ 2018,P Co acquired 75% of K Co common stock at an amount equal to its book value Selected balance sheet data at December 31, 2018, are as follows:

P Co K Co

Total Assets 210,000 90,000

Liabilities 60,000 30,000

Common Stock 50,000 25,000

Retained Earnings 100,000 35,000

In consolidated balance sheet at 31/12/ 2018, what amount should P co report as common stock ?

Select one:

a. 50,000

b. 57,000

c. 75,000

d. 100,000

P Co purchased 90% of S Co common stock at its book value of $200,000 on 1/1/2020.During 2020,S reported net income of $65,000 and paid dividends of $20,000.by using equity methods At what amount should P co reported the Investment in S account on 31/12/ 2020?

Select one:

a. 265,000

b. 200,000

c. 240,500

d. 245,000