Chanterelle Inc. acquired 30% interest, or 1,200 common shares, of Cedar Inc. on January 1, 2021. Chanterelle
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Chanterelle Inc. acquired 30% interest, or 1,200 common shares, of Cedar Inc. on January 1, 2021. Chanterelle Inc. paid $45 per share. At that time, the carrying amount of Cedar Inc.'s net assets was $144,000. Fair values of equipment (subject to depreciation) and land (not subject to depreciation) were higher than their carrying amount by $7,200 and $3,600, respectively. Equipment has remaining useful life of 6 years. Cedar Inc. reported net income of $10,800 for its year ended December 31, 2021. What is the carrying amount of this investment in the Chanterelle Inc.s December 31, 2021 statement of financial position?
Related Book For
Modern Advanced Accounting In Canada
ISBN: 9781259066481
7th Edition
Authors: Hilton Murray, Herauf Darrell
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