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Use the financial statement effects template (with amounts and accounts) to record the following transactions involving investments in marketable securities accounted for using the equity
Use the financial statement effects template (with amounts and accounts) to record the following transactions involving investments in marketable securities accounted for using the equity method:
a. Healy Co. purchases 7,500 common shares of Palepu Co. at $8 per share; the shares represent 25% ownership of Palepu.
b. Healy receives a cash divident of $0.80 per common share from Palepu
c. Palepu reports annual net income of $60,0000.
d. Healy sells all 7,500 common shares of Palepu for $70,000.
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