Using the above as background information,

a) Assume that Jiangling Motors paid no dividends in 2012. Determine Jiangling's netincome for the year. b) Explain why Ford has so many equity-method investments.

Edit: Apologies for the small image, I have tried to make it bigger.

11om Leftwich stock is $19 per share lul Investment Footnotes (LO2) includes the following table in its 2012 Form 10-K. The tab ltting d ntages and carrying value of equity meth od investments (in millions, except percentages): Ownership Percentage Investment Balance December December December utomotive Sector 31, 2012 31, 2012 31, 2011 an Ford Automobile Corporation, Ltd gan Ford Mazda Automobile Corporation, Ltd .. . . 50.0% $990 $ angling Motors Corporation, Ltd AutoAlliance International, Inc Ford Otomotiv Sanayi Anonim Sirketi AutoAlliance (Thailand) Co., Ltd. 30.0 373 372 369 367 361 419 41.0 50.0 50.0 50.0 394 391 407 242 63 73 Getrag Ford Transmissions GmbH. 100.0 Tenedora Nemak Changan Ford Mazda Engine Company, Ltd. 6.8 25.0 97.7 50.0 45.0 25.0 49.0 25.0 30.0 68 .. . . OEConnection LLC Percepta, LLC 25 20 9 18 13 Ford Performance Vehicles Pty Ltd Blue Diamond Parts, LLC. Automotive Fuel Cell Cooperation Corporation....... . . . . Other. . . . . . . . 4. 4 6 4 Various 4 Total Automotive sector . $3,112 $2,797 Although we manage the day-to-day operations for Ford Romania, through December 31, 2012, the Romanian government contractually maintained the ability to influence key decisions regarding the business, including implementation of the business plan, employment levels, and capital expenditure and investment levels. As a result we did not consolidate our investment in Ford Romania as of year-end 2012