Strawberry company purchased 70% of the outstanding voting share of Apple company at the beginning of 2019 OMR 400,000. The dividend distribution in the year of 2019 OMR 50,000. What is the entry of dividend income? Select one: a. Cash A/C Dr 35,000 Dividend Income Cr 35,000 b. Cash A/C Dr 50,000 Dividend Income Cr 50,000 c. Cash A/C Dr 280,000 Dividend Income Cr 280,000 d. Cash A/C Dr 400,000 Dividend Income Cr

Strawberry company purchased 70% of the outstanding voting share of Apple company at the beginning of 2019 OMR 400,000. The dividend distribution in the year of 2019 OMR 50,000. What is the entry of dividend income? Select one: a. Cash A/C Dr 35,000 Dividend Income Cr 35,000 b. Cash A/C Dr 50,000 Dividend Income Cr 50,000 c. Cash A/C Dr 280,000 Dividend Income Cr 280,000 d. Cash A/C Dr 400,000 Dividend Income Cr

Cornerstones of Financial Accounting

4th Edition

ISBN:9781337690881

Author:Jay Rich, Jeff Jones

Publisher:Jay Rich, Jeff Jones

Chapter12: Fainancial Statement Analysis

Section: Chapter Questions

Problem 54CE

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On January 1, 2019, Lallo Company purchased 15% of Vintar Company's ordinary shares for P20,000,000. The following data concerning Vintar Company are available: 2019 2020 Net income P6,000,000 P7,000,000 Cash dividend paid None 15,000,000 In its income statement for the year ended December 31. 2020, how much should Lallo report as income from this investment? O P2,250.000 O P600.000 O P700.000 O P1.950.000
Strawberry company purchased 70% of the outstanding voting share of Apple company at the beginning of 2019 OMR 400,000. The dividend distribution in the year of 2019 OMR 50,000. What is the entry of dividend income? Select one: a. Cash A/C Dr 400,000 Dividend Income Cr 400,000 b. Cash A/C Dr 280,000 Dividend Income Cr 280,000 С. Cash A/C Dr 50,000 Dividend Income Cr 50,000 O d. Cash A/C Dr 35,000 Dividend Income Cr 35,000
Mega Corp. declared a $50,000 cash dividend on July 1, 2020, with the following related information: Ex-Dividend Date: July 14, 2020 Date of Record: July 15, 2020 Date of Payment: July 31, 2020 For this transaction, would Mega Corp’s liabilities increase, decrease, or remain unchanged on each listed date? Select one: a. July 1 July 14 July 15 July 31 No change No change Increase Decrease b. July 1 July 14 July 15 July 31 Increase No change No change Decrease c. July 1 July 14 July 15 July 31 Decrease No change No change Increase d. July 1 July 14 July 15 July 31 No change No change Decrease Increase
4. On January 1, 2019, Lallo Company purchased 15% of Vintar Company’s ordinary shares for P20,000,000. The following data concerning Vintar Company are available: 2019 2020 Net income P6,000,000 P7,000,000 Cash dividend paid None 15,000,000 In its income statement for the year ended December 31, 2020, how much should Lallo report as income from this investment? Group of answer choices P1,950,000 P600,000 P700,000 P2,250,000
Suppose that AXE company acquires exactly 25% of the voting common stock of Company SARDAR Inc. for $3,000,000 at the beginning of the year 2020. Pfizer company reports $1,200,000 earnings for the year in its net income and pays $550,000 in cash dividends at the end of the year 2020. 1. Using the cost method, what is the investment income and the balance sheet investment account balance respectively for AXE company? * A) $137,500, $3,000,000 B) $300,000; $3,162,500 C) $137,500; $2,300,000 D) None of the above. 2. Using the equity method, what is the investment income and the balance sheet investment account balance respectively for AXE company? * A) $137,500, $3,000,000 B) $300,000; $3,162,500 C) $137,500; $2,300,000 D) None of the above.
On January 1, 2019, in its first year of operation, Olson Company acquired some of the outstanding stock of Bryant Company. Based on the following information, calculate the December 31, 2019 debit balance of Investment in Bryant Company Stock. How do I go about calculating this? January 1, 2019 amount invested in Bryant Company 180,000 Share of ownership of outstanding stock of Bryant Company 25% Bryant Company earnings for 2019 60,000 Bryant Company dividends paid during 2019 18,000
BI's income for the year ended December 31, 2021 was $ 4,000,000. This was earned evenly over the year. In addition BI paid dividends of $ 300,000 each on March 31, June 30, September 30 and December 31, 2021 to their shareholders of records on that date. The inventory on July 1, 2021 was 75% sold as of December 31, 2021. Required. For the investment in AI 1. Using IFRS 9 prepare the journal entries for DC for all of 2021. 2. Using ASPE prepare the journal entries for DC for all of 2021. For the investment in BI 3. Using IFRS prepare the journal entries for DC for 2021. 4. Using ASPE prepare the joumal entries for DC for 2021 for all options available under ASPE.
Pacquired an 80% of S Company at a cost of $200,000 on January 1, 2020. S reported net income in 2020 of $60,000 and in 2021 of $40,000. P received $15,000 dividends from S in 2020 and $25,000 in 2021. P uses the equity method to record its investment. P should record "equity in S income" during 2021 of Select one: O a. $32,000. Ob. $40,000. Oc. $25,000. O d. $7,000.
Harrison Co. purchases 5,000 of the 50,000 outstanding ordinary shares of Taylor, Inc for £500,000 on January 1, 2019. In 2019, Taylor earns a net income of £800,000 and pays cash dividends of £640,000. The market price per share was £132 on December 31, 2019, what is the investment balance at year-end? O a. 564,000 O b. 660,000 O c. 516,000 O d. 500,000
only need solution 44. Pineapple Company provided the following information on December 31, 2020:• Accounts payable amounted to P500,000 and accrued expenses totaled P300,000 on Dec. 31,2020.• On Dec. 15, 2020 the entity declared a cash dividend on P7 per share on 100,000 outstandingshares, payable on Jan. 15, 2021.• On Jul. 1, 2020, the entity issued P5,000,000, 8% bonds for P4,400,000 to yield 10%. The bondmature on June 30, 2025 and pay interest annually every June 30.• The pretax financial income was P8,500,000 and taxable income was P6,000,000. The difference isdue to P1,000,000 permanent difference and P1,500,000 of taxable temporary difference toreverse in 2021• The income tax rate is 30%. The entity made estimated income tax payments during the year ofP1,000,000.What amount should be reported as total current liabilities on December 31, 2020?a) P2,300,000b) P2,500,000-answerc) P2,700,000d) P3,500,000
ABC Co. purchased 10,000 shares (2% ownership) of DEF Co. on February 14, 2020. ABC Co. received a share dividend of 2,000 shares on April 30, 2020, when the market value per share was P35. DEF Co. paid a cash dividend of P2 per share on December 15, 2020. In its 2020 income statement, what amount should ABC Co. report as dividend income?
Black Swan provided the following data for 2020: 1. On September 1, Black Swan received a P500,000 cash dividend from Dionysus Company in which Black Swan owns a 30% interest. 2. On October 1, Black Swan received a P60,000 cash dividend from Seesaw Corporation. Black Swan owns a 35% interest in Seesaw. 3. Black Swan owns a 10% interest in BST, which declared a P2.000.000 cash dividend on November 21. 2020 payable on January 23, 2021. What amount should be reported as dividend income for 2020? P700,000 P560,000 P500,000 P200,000