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JDR Company Purchased 40% of the Common Stock of YRK

Question 1

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JDR Company purchased 40% of the common stock of YRK Corporation on January 1, 2010, for $2,000,000 as a long-term investment. The records of YRK Corporation showe the following on December 31, 2010: JDR Company purchased 40% of the common stock of YRK Corporation on January 1, 2010, for $2,000,000 as a long-term investment. The records of YRK Corporation showe the following on December 31, 2010:   How much investment income should JDR report from the YRK investment during 2010 A)  $116,000 B)  $290,000 C)  $12,000 D)  $30,000 How much investment income should JDR report from the YRK investment during 2010


A) $116,000
B) $290,000
C) $12,000
D) $30,000

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