CASE 3 (QS 17-19); Casper Co. paid $2,400,000 to acquire all of the common stock of Janet Corp. on January 1, 2012. Janet's reported earnings for 2012 totaled $432,000, and it paid $120,000 in dividends during the year. The amortization of allocations related to the investment was $24,000. Casper's net income, not including the investment, was $3,180,000, and it paid dividends of $900,000. Question 17 On the consolidated financial statements for 2012, what amount should have been shown for Equity in Subsidiary Earnings? A) $432,000. B) $ -0- C) $408,000. D) $120,000. E) $288,000. On the consolidated financial statements for 2012, what amount should have been shown for consolidated dividends? A) $ 900,000. B) $1,020,000. C) $ 876,000. D) $ 996,000. E) $ 948,000. What is the amount of consolidated net income for the year 2012? A) $3,180,000. B) $3,612,000. C) $3,300,000. D) $3,588,000. E) $3,420,000.
CASE 3 (QS 17-19); Casper Co. paid $2,400,000 to acquire all of the common stock of Janet Corp. on January 1, 2012. Janet's reported earnings for 2012 totaled $432,000, and it paid $120,000 in dividends during the year. The amortization of allocations related to the investment was $24,000. Casper's net income, not including the investment, was $3,180,000, and it paid dividends of $900,000. Question 17 On the consolidated financial statements for 2012, what amount should have been shown for Equity in Subsidiary Earnings? A) $432,000. B) $ -0- C) $408,000. D) $120,000. E) $288,000. On the consolidated financial statements for 2012, what amount should have been shown for consolidated dividends? A) $ 900,000. B) $1,020,000. C) $ 876,000. D) $ 996,000. E) $ 948,000. What is the amount of consolidated net income for the year 2012? A) $3,180,000. B) $3,612,000. C) $3,300,000. D) $3,588,000. E) $3,420,000.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
Transcribed Image Text:CASE 3 (QS 17-19);
Casper Co. paid $2,400,000 to acquire all of the common stock of Janet Corp. on January 1,
2012. Janet's reported earnings for 2012 totaled $432,000, and it paid $120,000 in
dividends during the year. The amortization of allocations related to the investment was
$24,000. Casper's net income, not including the investment, was $3,180,000, and it paid
dividends of $900,000.
Question 17
On the consolidated financial statements for 2012, what amount should have been shown
for Equity in Subsidiary Earnings?
A) $432,000.
B) $ -0-
C) $408,000.
D) $120,000.
E) $288,000.
On the consolidated financial statements for 2012, what amount should have been shown
for consolidated dividends?
A) $ 900,000.
B) $1,020,000.
C) $ 876,000.
D) $ 996,000.
E) $ 948,000.
What is the amount of consolidated net income for the year 2012?
A) $3,180,000.
B) $3,612,000.
C) $3,300,000.
D) $3,588,000.
E) $3,420,000.
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