On January 1,2014,Woodside Corporation purchased 5,000 shares of Nieman Corporation common stock for $120 per share.Woodside's investment represents 30 percent of the total outstanding shares of Nieman.During 2014,Nieman paid total dividends of $200,000.Woodside appropriately used the equity method to account for this investment and accordingly reported the investment at a carrying value of $780,000 on December 31,2014.Compute the amount of earnings reported by Nieman Corporation for 2014.

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The Answer of On January 1,2014,Woodside Corporation purchased 5,000 shares of Nieman Corporation common stock for $120 per share.Woodside's investment represents 30 percent of the total outstanding shares of Nieman.During 2014,Nieman paid total dividends of $200,000.Woodside appropriately used the equity method to account for this investment and accordingly reported the investment at a carrying value of $780,000 on December 31,2014.Compute the amount of earnings reported by Nieman Corporation for 2014.

On January 1,2014,Woodside Corporation Purchased 5,000 Shares of Nieman Corporation