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Exhibit 15-2 on January 1, 2010, the Clumzee Company Purchased

Question 62

Multiple Choice

Exhibit 15-2 On January 1, 2010, the Clumzee Company purchased 30% of the 1, 000, 000 shares of Nimble's common stock for $15, 000, 000 when 30% of Nimble's net assets totaled $12, 000, 000.The excess purchase price over the underlying assets was attributable to undervalued depreciable plant assets with a remaining useful life of ten years.Nimble reported net income of $8, 000, 000 and paid cash dividends of $2, 000, 000 during 2010.
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Refer to Exhibit 15-2.The income reported by Clumzee during 2010 from its investment in the Nimble Company should be


A) $ 600, 000
B) $2, 100, 000
C) $2, 400, 000
D) $2, 900, 000

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