_____ When a parent uses the cost method to account for its investment in a 100%-owned subsidiary, cash dividends declared by the subsidiary should be recorded by the parent as
A) Dividend income when declared.
B) Dividend income when the cash is received.
C) A deduction from the parent's Investment account.
D) An addition to the parent's Investment account.
E) None of the above.
Correct Answer:
Verified
Q41: _ Which statement is correct concerning the
Q42: _ Under the equity method, which account
Q43: _ Under the cost method, which account
Q44: _ The Dividend Income account would be
Q45: _ When a parent uses the equity
Q47: _ On 12/29/05, a subsidiary declared a
Q48: _ On 12/29/05, a subsidiary declared a
Q49: _ A subsidiary declared a cash dividend.
Q50: _ On 1/4/06, a subsidiary paid a
Q51: _ On 1/4/06, a subsidiary paid a
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