Determine the balance in the investment in south company


Grant, Inc. acquired 30% of South Company's common stock for $350,000 on January 1, 2011. During 2011, South Company reported a net income of $120,000 and paid dividends totaling $30,000. For 2012, South Company paid 60% of its net income to stockholders as dividends. On December 31, 2012, Grant, Inc. sold one-half of its investment in South Company for $250,000 cash. Grant, Inc. reported a gain from selling one-half of its investment in South Company on its 2012 income statement (note the amount of the gain has been intentionally omitted from the given information).

Calculate the balance in the investment in South Company account reported on Grant, Inc.'s December 31, 2011 balance sheet.
Do not use decimals in your answer.

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Accounting Basics: Determine the balance in the investment in south company
Reference No:- TGS0674071

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