题目
题目

Test:Midterm 2 Problems

单项选择题

Part 1JayBird Jewelers purchased​ 3,000,000 of the outstanding​ 10,000,000 shares of Angel​ & Associates. At the time of the​ acquisition, the book value of​ Angel's net assets equals their fair market value. Angel declared dividends of $ 290,000$290,000 during the year. How will JayBird record the last​ transaction? Part 1 A. JayBird will increase Dividend Revenue by $ 87,000$87,000. B. JayBird will increase the investment account by $ 87,000$87,000. C. JayBird will decrease the investment account by $ 87,000$87,000. D. JayBird will increase Dividend Revenue by $ 290,000$290,000.

选项
A.A. JayBird will increase Dividend Revenue by $ 87,000 .
B.B. JayBird will increase the investment account by $ 87,000 .
C.C. JayBird will decrease the investment account by $ 87,000 .
D.D. JayBird will increase Dividend Revenue by $ 290,000 .
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First, let's restate the problem and the choices to ensure clarity. Question: JayBird bought 3,000,000 shares out of Angel & Associates' 10,000,000 shares. The book value equals fair value at acquisition. Angel declared dividends of 290,000 during the year. How will JayBird record the last transaction? Answer options: A. JayBird will increase Dividend Revenue by $87,000. B. JayBird will increase the investment account by $87,000. C. JayBird will decrease the investment account by $87,000. D. JayBird will increase Dividend Rev......Login to view full explanation

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Jarden Tech owns 30% of Stark Inc. and accounts for the investment using the equity method.  During the year, Stark reports a net loss of $1,250,000 and pays total dividends of $35,000.    Which of the following describes the change in Jarden’s investment in Stark during the year?

Part 1On January​ 2, year​ 1, Kean Co. purchased a​ 30% interest in Pod Co. for​ $250,000. On this​ date, Pod's​ stockholders' equity was​ $500,000. The carrying amounts of​ Pod's identifiable net assets approximated their fair​ values, except for land whose fair value exceeded its carrying amount by​ $200,000. Pod reported net income of​ $100,000 for year​ 1, and paid no dividends. Kean accounts for this investment using the equity method. In its December​ 31, Year​ 1, balance​ sheet, what amount should Kean report as investment in​ subsidiary? Part 1 A. ​$220,000 B. ​$270,000 C. ​$210,000 D. ​$280,000

Part 1On January ​1, Jefferson Company acquired 25 %25% of the outstanding voting shares of Tremont Corporation at a cost of $ 1,340,000$1,340,000 by acquiring 20,00020,000 of the total 80,00080,000 outstanding shares at a cost of $ 67$67 per share. During the​ year, Tremont reported $ 875,000$875,000 in net income and declared and paid $ 3.75$3.75 per share dividends. At​ acquisition, Tremont'sTremont's market value equaled the book value of its net assets. Prepare the journal entries required to record the above events assuming that Jefferson uses the equity method to account for its investment in Tremont. Part 1Begin by recording the journal entry for investment. Do not record the entry for share of net income and total dividends declared. We will do that in the next steps. ​(Record debits​ first, then credits. Exclude explanations from any journal​ entries.) [table] | Save Accounting Table... | | + | Copy to Clipboard... | | + [/table] [table] Account | Entry at Acquisition Investment in Tremont Corporation | 1,340,000 | Cash | | 1,340,000 | | | | [/table]Part 2​Next, prepare the journal entry to reflect Jefferson​'s share of Tremont​'s net income. Do not record the entry for total dividends declared and paid. We will do that in the next step. [table] | Save Accounting Table... | | + | Copy to Clipboard... | | + [/table] [table] Account | Entry at Year-end Investment in Tremont Corporation | 218,750 | Income from Investment | | 218,750 | | | | [/table]Part 3​Now, prepare the journal entry to reflect Jefferson​'s share of Tremont​'s dividends declared and paid. [table] | Save Accounting Table... | | + | Copy to Clipboard... | | + [/table] [table] Account | Entry at Year-end | | | | | | | | [/table] Save Accounting Table...+Copy to Clipboard...+AccountEntry at Acquisition[Account][Fill in the blank][Fill in the blank][Account][Fill in the blank][Fill in the blank][Account][Fill in the blank][Fill in the blank][Account][Fill in the blank][Fill in the blank] [IMPORTANT INSTRUCTION] When returning answers, provide an array for [Fill in the blank] positions ONLY. Skip [Account] cells (these are dropdowns). If a [Fill in the blank] should be empty, return an empty string "" as a placeholder. The array length should equal the number of [Fill in the blank] cells, not total cells.

Part 1On January​ 2, year​ 1, Kean Co. purchased a​ 30% interest in Pod Co. for​ $250,000. On this​ date, Pod's​ stockholders' equity was​ $500,000. The carrying amounts of​ Pod's identifiable net assets approximated their fair​ values, except for land whose fair value exceeded its carrying amount by​ $200,000. Pod reported net income of​ $100,000 for year​ 1, and paid no dividends. Kean accounts for this investment using the equity method. In its December​ 31, Year​ 1, balance​ sheet, what amount should Kean report as investment in​ subsidiary? Part 1 A. ​$270,000 B. ​$220,000 C. ​$280,000 D. ​$210,000

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