On January 1, 2024, MNO purchased 30 percent of the 10,000 shares of the outstanding...
90.2K
Verified Solution
Link Copied!
Question
Accounting
On January 1, 2024, MNO purchased 30 percent of the 10,000 shares of the outstanding common shares, of RST for $60,000 cash (and properly computed goodwill of $5,000 amortizable over 10 years). On December 31, 2024, RST reported net income of $40,000 and declared a cash dividend of $2 per share. Select the appropriate combination below for the December 31, 2024, account balances to be reported by MNO.
| Balance sheet-DEC. 31, 2024 | Income Statement-2024 | |
| Investment Account | Investment Revenue | |
| 1) | $60,000 | $6,000 |
| 2) | $65,500 | $5,500 |
| 3) | $65,500 | $11,500 |
| 4) | $65,500 | $12,000 |
Multiple Choice
Choice 1
Choice 2
Choice 3
Choice 4
Get Answers to Unlimited Questions
Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!
Membership Benefits:
- Unlimited Question Access with detailed Answers
- Zin AI - 3 Million Words
- 10 Dall-E 3 Images
- 20 Plot Generations
- Conversation with Dialogue Memory
- No Ads, Ever!
- Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Other questions asked by students
StudyZin's Question Purchase
1 Answer
$0.99
(Save $1 )
One time Pay
- No Ads
- Answer to 1 Question
- Get free Zin AI - 50 Thousand Words per Month
Best
Unlimited
$4.99*
(Save $5 )
Billed Monthly
- No Ads
- Answers to Unlimited Questions
- Get free Zin AI - 3 Million Words per Month
*First month only
Free
$0
- Get this answer for free!
- Sign up now to unlock the answer instantly
You can see the logs in the Dashboard.