On January 1,2016,Snow Co.purchased 25% of Right Corp.'s common shares; no goodwill resulted from the purchase.Snow appropriately carries this investment at equity and the balance in Snow's investment account was $190,000 at December 31,2016.Right reported net income of $120,000 for the year ended December 31,2016,and paid common dividends totalling $48,000 during 2016.

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The Answer of On January 1,2016,Snow Co.purchased 25% of Right Corp.'s common shares; no goodwill resulted from the purchase.Snow appropriately carries this investment at equity and the balance in Snow's investment account was $190,000 at December 31,2016.Right reported net income of $120,000 for the year ended December 31,2016,and paid common dividends totalling $48,000 during 2016.