The following selected information is available from the financial statements of a large global company:

Required:
Use the financial information above to answer the following questions:
1.Based on the information given above,what journal entries did this company make to record its share of the net income of its equity-basis companies and the receipt of dividends from these companies?
2.What was the dollar amount of the company's interest in equity-based companies that were sold during 2014?
3.Estimate the average percent ownership of the company in its equity-basis companies based on the company's share of the net incomes of these equity-based companies for the years 2013 and 2014.
4.From your results in question 3 above,is the direction of change in ownership consistent with the increasing or decreasing investment in equity-based companies?

Question

The following selected information is available from the financial statements of a large global company:
  
Required:
Use the financial information above to answer the following questions:
1.Based on the information given above,what journal entries did this company make to record its share of the net income of its equity-basis companies and the receipt of dividends from these companies?
2.What was the dollar amount of the company's interest in equity-based companies that were sold during 2014?
3.Estimate the average percent ownership of the company in its equity-basis companies based on the company's share of the net incomes of these equity-based companies for the years 2013 and 2014.
4.From your results in question 3 above,is the direction of change in ownership consistent with the increasing or decreasing investment in equity-based companies?

Quizplus · Accepted Answer

The Answer of The following selected information is available from the financial statements of a large global company:
  
Required:
Use the financial information above to answer the following questions:
1.Based on the information given above,what journal entries did this company make to record its share of the net income of its equity-basis companies and the receipt of dividends from these companies?
2.What was the dollar amount of the company's interest in equity-based companies that were sold during 2014?
3.Estimate the average percent ownership of the company in its equity-basis companies based on the company's share of the net incomes of these equity-based companies for the years 2013 and 2014.
4.From your results in question 3 above,is the direction of change in ownership consistent with the increasing or decreasing investment in equity-based companies?

The Following Selected Information Is Available from the Financial Statements