Homework Answers
D. $3,080,000
| Amount paid to acquire investments | $ 3,000,000 | |
| Add: share in income after dividends | ||
| Net income | $ 1,000,000 | |
| Less: Yearly dividends (150,000*4) | $ -600,000 | |
| Income after dividends | $ 400,000 | |
| Share in income after dividends for 6 months | $ 80,000 | |
| ($400,000 * 40% * 6/12) | ||
| Balance of investments of Tremen corporation | $ 3,080,000 |
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15) On July 1, 2021, Tremen Corporation acquired 40% of the shares of Delany Company. Tremen...
On July 1, 2018, Tremen Corporation acquired 40% of the shares of Delany Company. Tremen paid...
On July 1, 2018, Tremen Corporation acquired 40% of the shares of Delany Company. Tremen paid $3,170,000 for the investment, and that amount is exactly equal to 40% of the book value of identifiable net assets on Delany's balance sheet. Delany recognized net income of $1,200,000 for 2018, and paid $180,000 of dividends each quarter to its shareholders. After all closing entries are made, Tremen's Investment in Delany Company account would have a balance of:
On July 1, 2018, Tremen Corporation acquired 30% of the shares of Delany Company. Tremen paid...
On July 1, 2018, Tremen Corporation acquired 30% of the shares of Delany Company. Tremen paid $3,200,000 for the investment, and that amount is exactly equal to 30% of the book value of identifiable net assets on Delany's balance sheet. Delany recognized net income of $1,500,000 for 2018, and paid $190,000 of dividends each quarter to its shareholders. After all closing entries are made, Tremen's "Investment in Delany Company" account would have a balance of: Multiple Choice Top of Form...
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Total of 7 questions. See attached photos of questions. Case I: Grant Company acquired 40% of...
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On July 1, 2018, Tremen Corporation acquired 40% of the shares of Delany Company. Tremen paid $3,170,000 for the investment, and that amount is exactly equal to 40% of the book value of identifiable net assets on Delany's balance sheet. Delany recognized net income of $1,200,000 for 2018, and paid $180,000 of dividends each quarter to its shareholders. After all closing entries are made, Tremen's Investment in Delany Company account would have a balance of:
5 points Save Answe On July 1, 2021. Tremen Corporation acquired 45% of the shares of Delany Company Tremen paid $3,040,000 for the investment, and that amount is exactly equal to 15% of the book value of identifiable net assets on Delany's balance sheet Delany recognized net income of $1,100,000 for 2021, and paid $170,000 of dividends each quarter to its shareholders. Aiter all closing entries are made for the year ended December 31, 2021. Tremen's Investment in Delany Company...
Total of 7 questions. See attached photos of questions.
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