What effect will these entries have on the investor, Accounting Basics

+44 141 628 6080
[email protected]

What effect will these entries have on the investor

A corporation uses the equity method to account for its 40% ownership of another company. The investee earned $20,000 and paid $5,000 in dividends. The investor made the following entries:

Investment in affiliate $8,000
Equity in earnings of affiliate $8,000
Cash $2,000
Dividend revenue $2,000

What effect will these entries have on the investor's statement of financial position?

View Complete Question

Request for Solution File

Ask an Expert for Answer!!

Accounting Basics: What effect will these entries have on the investor

Reference No:- TGS0699693

Expected delivery within 24 Hours

Have a Question? (oR Write a Review)

Write atleast 100 words!!

Recent Questions Asked Accounting Basics

Q : Use the present value tables provided

A Masters of Accountancy degree at Mid-State University would cost $10,000 for an additional fifth year of education beyond the bachelor's degree.

Q : When the equity method is used to account

When the equity method is used to account for investment in common stock, which of the following affect(s) the investor's reported investment income?

Q : Ratio of the area of the circumscribed square

If the same circle is used, then what is the ratio of the area of the circumscribed square to the area of the inscribed square?

Q : How much salary should zorn receive during the period

Zorn conducted his professional practice through zorn, inc. the corporation uses a fiscal year ending september 30 even though the business purpose test for a fiscal year cannot be satisfied.

Q : What effect will these entries have on the investor

A corporation uses the equity method to account for its 40% ownership of another company. The investee earned $20,000 and paid $5,000 in dividends.

Q : Compute the adjustment due

Ross company is a computer consulting firm. the company also sells equipment to its clients. the sales of equipment account for approximately %40 of the company's gross receipts.

Q : How much area can he graze by goat

A goat is tethered at the vertex on the outside of a monument in the shape of a regular hexagon with sides of length 30 feet. If the goat is tied by a 30 feet chain, how much area can he graze?

Q : How do these excesses of the fair values over

On January 1,2011, the fair value of Tun's FIFO inventory and land exceeded their carrying amounts. How do these excesses of the fair values over carrying amounts affect Park's reported equity in Tun's 2011 earnings?

Q : What amount should well report as investment in rea

On January 2, 2011, Well Co. purchased 10% of Rea Inc.'s outstanding common shares for $400,000. Well is the largest single shareholder in Rea, and Well's officers are a majority on Rea's board of directors.

1922664

Questions
Asked

3,689

Active Tutors

1417064

Questions
Answered

Start Excelling in your courses, Ask a tutor for help and get answers for your problems !!

ask Question

Request for Solution File

Ask an Expert for Answer!!

Accounting Basics: What effect will these entries have on the investor

Reference No:- TGS0699693

Have a Question? (oR Write a Review)

Recent Questions Asked Accounting Basics

Q : Use the present value tables provided

Q : When the equity method is used to account

Q : Ratio of the area of the circumscribed square

Q : How much salary should zorn receive during the period

Q : What effect will these entries have on the investor

Q : Compute the adjustment due

Q : How much area can he graze by goat

Q : How do these excesses of the fair values over

Q : What amount should well report as investment in rea

Outline the basic functions of the brain and nervous system

Problem regarding lgbtqi behavioral and mental health

Primary function of health care administrators

Demonstration of you joining with a family

Patient struggling with an eating disorder

Covid-19 pandemic highlighted what perverse health disparity

Describing health care coverage options for a client

Request for Solution File

Ask an Expert for Answer!!

Accounting Basics: What effect will these entries have on the investor

Reference No:- TGS0699693

Recent Questions Asked Accounting Basics

Q : Use the present value tables provided

Q : When the equity method is used to account

Q : Ratio of the area of the circumscribed square

Q : How much salary should zorn receive during the period

Q : What effect will these entries have on the investor

Q : Compute the adjustment due

Q : How much area can he graze by goat

Q : How do these excesses of the fair values over

Q : What amount should well report as investment in rea

Asked Questions