What amount of dividends should West Corp.recognize in its consolidated net income with respect to dividends received from Compass Co.?
A) $ -0-
B) $25,200.
C) $36,000.
D) $42,000.
E) $90,000.

Question

Quizplus · Accepted Answer

In consolidated financial statements, dividends received from a subsidiary are not recognized as income. Instead, they are eliminated in consolidation to avoid double counting, as the subsidiary's net income is already included in the consolidated net income.

What Amount of Dividends Should West Corp