FREE Trial
Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

On January 1, 2017, Natural Food Corporation purchased 40% of Developers Corporation for $620,000. During the year, Developers earned $260,000 in income and distributed dividends

On January 1, 2017, Natural Food Corporation purchased 40% of Developers Corporation for $620,000. During the year, Developers earned $260,000 in income and distributed dividends of $60,000. At the end of the year, Natural food sold its investment in Developers for $800,000. Assume that Natural Food accounts for this investment using the equity method. The entry to record the sale will include a:

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Managerial Accounting

Managerial Accounting

Authors: Karen Wilken Braun, Wendy M. Tietz

2nd Custom Edition

1269396803, 978-1269396806

More Books

Students also viewed these Accounting questions

Question

★★★★★
Before hanging new William Morris wallpaper in her bedroom, Brenda sanded the walls lightly to smooth out some irregularities on the surface. The sanding block weighs 2.0 N and Brenda pushes on it...

Answered: 1 week ago

Question

★★★★★
Use the website indicated above to identify appropriate tools that can be used to overcome pressure to give in to bribery or extortion demands. Assess how these might help you to deal with the...

Answered: 1 week ago

Question

★★★★★
describe why abnormal work hours can constitute a health risk;

Answered: 1 week ago

Question

★★★★★
Nathan T Corporation is comparing two different options. Nathan T currently uses Option 1, with revenues of $65,000 per year, maintenance expenses of $5,000 per year, and operating expenses of...

Answered: 1 week ago

Question

★★★★★
Hi, can you answer this question in more detail? Subject: Taxation and Estate Planning Section B: 1 Short Question. 1. Ms. A bought a flat on 1 June 2011 and let it to Mr. B for a three year lease...

Answered: 1 week ago

Question

★★★★★
Currently, Forever Flowers Inc. has a capital structure consisting of 20% debt and 80% equity. Forever's debt currently has a 7% yield to maturity. The risk-free rate (r RF ) is 5%, and the market...

Answered: 1 week ago

Question

★★★★★
Complete the solution to the following differential equation. y" + 4y + 3y = 16et y(0) = 0, y(0) = 1 Applying the Laplace transform in both sides we get s2Y(s) - sy(0) -y (0) + 4[sY(s) = y(0)] +...

Answered: 1 week ago

Question

★★★★★
CheersInc., a small health insurance company, manages its own call center to provide customer service. A call is first taken by a general representative who will try to resolve the client's inquiry....

Answered: 1 week ago

Question

★★★★★
Many practices have tried to reduce no-shows through automated text and phone call reminders. But that only solves the issue of forgetfulness. Much more effective are options for online scheduling...

Answered: 1 week ago

Question

★★★★★
An action plan for a personal leadership portfolio. Please don't forget support in-text as well as in references. Developing the degree of self-awareness and direction setting as this assignment...

Answered: 1 week ago

Question

★★★★★
When considering QI, some people believe that major opportunities for improvement can be realized by increasing clinician's skills and competence. However, others believe that more opportunities for...

Answered: 1 week ago

Question

★★★★★
4. What are unfair labour practices? What are the consequences of unfair labour practices? Use examples to explain your answer.

Answered: 1 week ago

Question

★★★★★
2. What major HR issues must be addressed as an organization moves from an international form to a multidomestic, global, and transnational form?

Answered: 1 week ago

Question

★★★★★
OUTCOME 2 Explain why employees join unions and describe the process by which unions organize employees and gain recognition as their bargaining agent.

Answered: 1 week ago

Previous Question Next Question