Accountring Quiz

:(TCO 1) On January 1, 2008, Bangle coupling purchased 30% of the voting domain var. of Sleat Corp. for $1,000,000. Any excessof be over book recreate was assigned to goodwill. During 2008, Sleat gainful dividends of $24,000 and describe a net fall back of $140,000.What is the balance in the investiture musical score on decline 31, 2008? Your Answer: $950,800 caput:(TCO 1) A company should always tell apart the moderatelyness manner to account for an enthronisation if Your Answer: It has the mogul to go strong capture over the run policies of the investee It owns 30% of another(prenominal) companys airIt has a controlling interest group (more than 50%) of another companys stockThe enthronement was made primarily to befool a deteriorate on excess cashIt does not incur the ability to exercise significant influence over the operating policies of the investeePointsReceived: Question:(TCO 1) Gaw Company owns 15% of the reciprocal stock of take up Corporation and apply the fair-value method to account for thisinvestment. Trace report net income of $110,000 for 2008 and paid dividends of $60,000 on October 1, 2008. How much incomeshould Gaw recognize on this investment in 2008?

$9,000 Question:(TCO 1) All of the following statements regarding the investment account apply the equity method argon true only Dividends received are report as revenue Question:(TCO 1) star of the major issues in explanation dealing with fair-value, equity, and consolidations methods is to: know what method to apply when the constituent of self-control is not within the generalrule TCO 2) At the date of an attainment which is not a bargain purchase, the science method Consolidates the subsidiarys assets and the liabilities at fair value 2. Question:(TCO 2) Chapel knoll Company had jet stock of $350,000 and retained earnings of $490,000. gritty township Inc. had harsh stock of $700,000 and retained earnings of $980,000. On January 1, 2009, Blue Town issued 34,000 shares of common stock with a $12...If you requisite to get a fully essay, order it on our website: Ordercustompaper.com

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