Wildhorse Company purchased 100 of the 1000 outstanding shares of Blossom Company's common stock for $690000 on January 2, 2021. During 2021, Blossom Company declared
Wildhorse Company purchased 100 of the 1000 outstanding shares of Blossom Company's common stock for $690000 on January 2, 2021. During 2021, Blossom Company declared dividends of $145000 and reported earnings for the year of $490000. If Wildhorse Company used the fair value method of accounting for its investment in Blossom Company, its Equity Investments (Blossom) account on December 31, 2021 should be
| A | $675500. |
| B | $739000. |
| C | $690000. |
| D | $724500 |
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Authors: Herne European Consultancy, Ray Tricker
1st Edition
0992758521, 978-0992758523
