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On January 1, 20X1, Apple Inc. acquired 60% of the outstanding shares of Beats Electronics LLC for $3.2 billion. The fair value of Beats Electronics
On January 1, 20X1, Apple Inc. acquired 60% of the outstanding shares of Beats Electronics LLC for $3.2 billion. The fair value of Beats Electronics LLC's net identifiable assets was $2.5 billion. During 20X1, Beats Electronics LLC reported a net income of $150 million and paid dividends of $50 million. Calculate the carrying amount of Apple Inc.'s investment in Beats Electronics LLC on December 31, 20X1, using the equity method.
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