Question
Tripod Company purchased 100,000 of the 250,000 shares of common stock of Camera Corporation on January 1, 2020, at $40 per share as a long-term
Tripod Company purchased 100,000 of the 250,000 shares of common stock of Camera Corporation on January 1, 2020, at $40 per share as a long-term investment. The records of Camera Corporation showed the following on December 31, 2020:
| 2020 net income | $ | 575,000 |
| Dividends declared and paid during December, 2020 | $ | 30,000 |
| Market price per share | $ | 42 |
At what amount should Tripod Company report the Camera investment on the December 31, 2020 balance sheet?
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Financial Accounting For Undergraduates
Authors: Wallace
4th Edition
1618533088, 9781618533081
