Question 6

Palantir, Armour Inc., with subsidiaries, acquires 30,000 of the 125,000 $1 ordinary shares in Armour Inc for $80,000 on 1 January 20X8. In the year to 31 December 20X8, Armour Inc earns profits after tax of $34,000, from which it pays a dividend of $4,000. How will Armour Inc's results be accounted for in the individual and consolidated accounts of Palantir for the year ended 31 December 20X8?

Question 6(5 points) Palantir, Armour Inc., with subsidiaries, acquires 30,000 of the 125,000$1 ordinary shares in Armour Inc for which it pays a dividend of $4,000. How will Armour Inc's results be accounted for in the individual and consolidated accounts of Palantir for the year ended 31 December 208