Blue Corporation owns 40% of Jay Corporation.If the investment is accounted for using the equity method of accounting,and Jay Corporation pays a $50,000 dividend,Blue Corporation will:
A) credit Investment Revenue for $50,000
B) credit the Investment in Common Shares account for $20,000
C) credit Dividend Revenue for $20,000
D) debit the Investment in Common Shares account for $20,000
Correct Answer:
Verified
Q79: A joint venture is accounted for using
Q80: If an investor company owns 25% of
Q81: Bailey Corporation accounts for its 35% investment
Q82: The equity method of accounting for a
Q83: Table 16-2
Big Corporation paid $95,000 to acquire
Q85: The gain or loss on the sale
Q86: A 30% ownership interest in an investee
Q87: Table 16-3
On January 2, 2017, Harper Corporation
Q88: Under the equity method of accounting,the investor
Q89: An investor company owns 30% of the
Unlock this Answer For Free Now!
View this answer and more for free by performing one of the following actions
Scan the QR code to install the App and get 2 free unlocks
Unlock quizzes for free by uploading documents