Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

The first page is the question and the second is the solution. Can you please explain to me the meaning of each entry and how

The first page is the question and the second is the solution. Can you please explain to me the meaning of each entry and how we calculated the numbers. Thank you. image text in transcribed
image text in transcribed
2, 100,000 FINANCIAL ACCOUNTING II On October 1, 2017, The Dontfalemy Company purchased shares of the outstanding common stock (and percentage of ownership) of the following companies: (0) the ABC Corp. for $2,100,000 (10%); (ii) ABD, Inc. for $3.720,000 (29); (iii) The ABE Co. for $2,570,000 (8%); and (iv) the ABF Corporation for $3,360,000 (30%). As of December 31, 2017, Dontfalemy had the following data for the companies in which it had invested: Total Market Value of Each Company's Each Company's Company 864,000 21 1,210,000 600 $ 26,500,000:2,45,000-2,00,06so000 ABC ABD ABE ABF 179,500,000 ; 3,5-3,00-3Ma,?30 35,500,000:,640,000-1,0021000 12,200,000 -3, 922,000 2,300,000 122,50 In addition, it received checks on December 31, for dividends from each investee as follows: Dividends Received ABC ABD ABE ABF $75,000 30,000 62,000 121,000 What journal entries did Donfalemy make with regard to its investments as of December 31, 2017

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

Auditing Beyond Compliance Using The Portable Universal Quality Lean Audit Model

Authors: Janet Bautista Smith

1st Edition

0873898400, 9780873898409

More Books

Students also viewed these Accounting questions

Question

Describe three other types of visual aids.

Answered: 1 week ago