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Toaster Inc. owns 15 percent of Foyer Corporation. During the calendar year 20x1,...

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Accounting

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Toaster Inc. owns 15 percent of Foyer Corporation. During the calendar year 20x1, Foyer had net earnings of $500,000 and paid dividends of $100,000. Roaster mistakenly accounted for the investment in Foyer using the equity method rather than the cost method of accounting. What effect would this have on the Toaster's investment account and net income, respectively

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