Question
on January 1,2020, ABC, company purchased 3,000 shares of Vancouver Company at a cost of $31 each plus a brokerage fee of $1500. These 3,000
on January 1,2020, ABC, company purchased 3,000 shares of Vancouver Company at a cost of $31 each plus a brokerage fee of $1500. These 3,000 shares represent a 17% interest in Vancouver company. during the year, Vancouver company reported net income of $150000 and declared and paid dividends totaling $80000. At December 31,2020, the shares of Vancouver company were trading at $36 each. Assuming BC company is accounting for this investment using the Cost model, how much in the net income (not OCI) did this investment generate for BC's December 31, 2020?
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