Eastwood Ltd.purchased 325,000 of Spielberg Corporation common shares on January 2,2017,for $400,000.Spielberg Corporation has 812,500 shares outstanding.Spielberg Corporation earned net income of $650,000 and paid dividends of $300,000 during 2017.
a_What method should be used to account for the Spielberg Corporation investment?
b_How much revenue will be recorded by Eastwood Ltd.in 2017 from its investment in Spielberg Corporation?
c_What is the balance in Eastwood Ltd.'s investment account at the end of 2017?
d_Assume all of the above facts except that on January 2,2017,Eastwood Ltd purchased 50,000 shares of Spielberg Corporation.What method should be used to account for the Spielberg Corporation? How much revenue will be recorded by Eastwood Ltd.in 2017 from its investment in Spielberg Corporation?

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The Answer of Eastwood Ltd.purchased 325,000 of Spielberg Corporation common shares on January 2,2017,for $400,000.Spielberg Corporation has 812,500 shares outstanding.Spielberg Corporation earned net income of $650,000 and paid dividends of $300,000 during 2017.
a_What method should be used to account for the Spielberg Corporation investment?
b_How much revenue will be recorded by Eastwood Ltd.in 2017 from its investment in Spielberg Corporation?
c_What is the balance in Eastwood Ltd.'s investment account at the end of 2017?
d_Assume all of the above facts except that on January 2,2017,Eastwood Ltd purchased 50,000 shares of Spielberg Corporation.What method should be used to account for the Spielberg Corporation? How much revenue will be recorded by Eastwood Ltd.in 2017 from its investment in Spielberg Corporation?