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Pell Company acquires 80% of Demers Company for $500,000 on January 1,2019 . Demers reported common stock of $300,000 and retained earnings of $210,000 on
Pell Company acquires 80% of Demers Company for $500,000 on January 1,2019 . Demers reported common stock of $300,000 and retained earnings of $210,000 on that date. Equipment was undervalued by $30,000 and buildings were undervalued by $40,000, each having a 10 -year remaining Any excess Demers earns income and pays dividends as follows: Assume the equity method is applied. What is the consolidated balance of the Investment in Demers account at December 31,2021. Multiple Choice $639,000. $643,200
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