Penny Company owns 20% interest in the stock of Lynn Corporation. During the year Lynn pays $25000 in dividends and reports $200000 in net income. Penny Company's investment in Lynn will increase by
A) $25000.
B) $40000.
C) $45000.
D) $35000.

Question

Quizplus · Accepted Answer

The Answer of Penny Company owns 20% interest in the stock of Lynn Corporation. During the year Lynn pays $25000 in dividends and reports $200000 in net income. Penny Company's investment in Lynn will increase by
A) $25000.
B) $40000.
C) $45000.
D) $35000.

Penny Company Owns 20% Interest in the Stock of Lynn