On January 1, 2017, Sunshine Ltd. acquired 30% of the outstanding ordinary shares of Moonbeam Inc. for
Question:
Required:
a. Prepare Sunshine Ltd.s journal entries related to its investment in Moonbeam Inc. for the years ending December 31, 2017, and December 31, 2018, including the journal entry to record the acquisition.
b. Determine the balance in the investment account as at December 31, 2018.
Transcribed Image Text:
Year ended Dec. 31, 2017 Moonbeam Inc. Net income Dividends declared and paid Market value of investment Year ended Dec. 31, 2018 ($ 80,000) $300,000 50,000 370,000 30,000 320,000
Fantastic news! We've Found the answer you've been seeking!
Step by Step Answer:
Answer rating: 66% (18 reviews)
a Journal entries 2017 DR Investment in associate Moonbeam 270000 CR Cas...View the full answer
Answered By
Ali Khawaja
my expertise are as follows: financial accounting : - journal entries - financial statements including balance sheet, profit & loss account, cash flow statement & statement of changes in equity -consolidated statement of financial position. -ratio analysis -depreciation methods -accounting concepts -understanding and application of all international financial reporting standards (ifrs) -international accounting standards (ias) -etc business analysis : -business strategy -strategic choices -business processes -e-business -e-marketing -project management -finance -hrm financial management : -project appraisal -capital budgeting -net present value (npv) -internal rate of return (irr) -net present value(npv) -payback period -strategic position -strategic choices -information technology -project management -finance -human resource management auditing: -internal audit -external audit -substantive procedures -analytic procedures -designing and assessment of internal controls -developing the flow charts & data flow diagrams -audit reports -engagement letter -materiality economics: -micro -macro -game theory -econometric -mathematical application in economics -empirical macroeconomics -international trade -international political economy -monetary theory and policy -public economics ,business law, and all regarding commerce
4.00+
1+ Reviews
10+ Question Solved
Related Book For
Question Posted:
Related Video
A journal entry is an act of keeping or making records of any transactions either economic or non-economic. Transactions are listed in an accounting journal that shows a company\'s debit and credit balances. The journal entry can consist of several recordings, each of which is either a debit or a credit
Students also viewed these Business questions
-
Craft Ltd. held 80% of the outstanding ordinary shares of Delta Corp. as at December 31, Year 12. In order to establish a closer relationship with Nonaffiliated Corporation, a major supplier to both...
-
Control Alt Design Ltd. acquired 30% of the outstanding ordinary shares of Walter Company on January 1, 2017, by paying 800,000 for the 45,000 shares. Walter declared and paid 0.30 per share cash...
-
Tuecke's Concrete acquired 20% of the outstanding ordinary shares of Drew, Ltd. on January 1, 2017, by paying 1,100,000 for 40,000 shares. Drew declared and paid a 0.50 per share cash dividend on...
-
Reverse the order of integration in the following integrals. S.S. f(x, y) dx dy 0 1
-
A 4.5-cm-tall object is placed 32 cm in front of a spherical mirror. It is desired to produce a virtual image that is upright and 3.5 cm tall. (a) What type of mirror should be used? (b) Where is the...
-
Glock Company has identified the following overhead activities, costs, and activity drivers for the coming year: Glock produces two models of cell phones with the following expected activity demands:...
-
Determine the displacement of end \(C\) of the overhang Douglas fir beam. A a 400 lb -8 ft. La 3 in. H 6 6 in. Section a-a B -4 ft 400 lb-ft
-
Old School Publishing Inc. began printing operations on January 1. Jobs 301 and 302 were completed during the month, and all costs applicable to them were recorded on the related cost sheets. Jobs...
-
Now that Dante's business is humming along with your help, he's started thinking about things from a new perspective. Understanding more about his business is helping him improve how he works and...
-
Alettas annual salary of $58,800 is paid weekly. She is paid at time and a half for any overtime beyond her regular workweek of 35 hours. What is her gross pay for a week in which she works 39 hours?
-
On January 1, 2016, Arch Ltd. purchased 30% of the common shares of AP Inc. for $1,700,000. In 2016, AP reported net income of $880,000 and paid dividends of $600,000. Required: a. Which of the...
-
On January 25, 2017, Douglas Ltd. purchased 1,000 common shares of BMO (Bank of Montreal) for $65 each. During the remainder of 2017, Douglas received $2.80/share in dividends and BMOs earnings per...
-
If a bond's coupon rate is above the investor's required rate of return on the bond, would the bond's price be above or below its par value? Explain.
-
Which of the following results is not a possible output of this program? A. WEST is printed. B. south is printed. C. An ArrayIndexOutOfBoundsException is thrown at runtime. D. An...
-
What is the output of the following application? A. 5 B. 10 C. 15 D. The code does not compile. E. The answer cannot be determined with the information given. package race; interface Drive { int...
-
Which of the following can include a static method in its definition? (Choose three.) A. Interface B. Anonymous class C. Abstract class D. Member inner class E. Local class F. static nested class
-
What statement best describes the notion of effectively final in Java? A. A local variable that is marked final B. A static variable that is marked final C. A local variable whose primitive value or...
-
What is the output of the following? A. 12 B. 123 C. 321 D. The code does not compile. 12: var b = "12"; 13: b = "3"; 14: b.reverse(); 15 : System.out.println(b.toString());
-
Blair Natt Company discovered the following errors made in January 2020. 1. A payment of Salaries and Wages Expense of $700 was debited to Equipment and credited to Cash, both for $700. 2. A...
-
One hundred pounds of water at atmospheric pressure are heated from 60F to 200F. What is the enthalpy change? The internal energy change? Why is the difference between the internal energy change and...
-
Belmont Corporation has a December 31 year-end. On December 15, 2021, the board of directors declared a cash dividend of $0.50 per common share, payable on January 30, 2022. The date of record for...
-
When a corporation engages in a capital transaction (those relating to its contributed capital), the journal entry may involve either a debit or a credit to contributed surplus. While not permitted...
-
Accounting standards do not permit the recognition of capital transactions (those involving owners acting as owners) to flow through net income. Explain why accounting standards prohibit the...
-
A typical optic fiber has a thickness of only 6.00 x 10 nm. Consider a beam from a standard He-Ne laser that has a wavelength equal to 633 nm. Suppose this beam is incident upon two parallel slits...
-
What annual interest rate, r, is required to return $670 from $300 over 10 years? Give your answer as a percentage to two decimal places and assume growth compounds quarterly.
-
Collisions and elasticity In this problem, we'll analyze a one-dimensional collision between a car and a truck. You may find it helpful to use the elasticity parameter k, which is given by: = V1f-V2f...
Study smarter with the SolutionInn App