What will Harrison record as its Investment in Rhine on January 1, 2017?
A) $400,000.
B) $403,142.
C) $406,000.
D) $409,142.
E) $416,500.

Name: What will Harrison record as its Investment in Rhine on January 1, 2017? A) $400,000. B) $403,142. C) $406,000. D) $409,142. E) $416,500.
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The investment in Rhine will be recorded at its fair value which is $403,142 ($400,000 + $3,142). The additional $3,142 is the fair value adjustment of the investment at the acquisition date.

What Will Harrison Record as Its Investment in Rhine on January