6. On January 1, Gar Company paid $600,000 for 20,000 shares of Med Company's common stock,...

 

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6. On January 1, Gar Company paid $600,000 for 20,000 shares of Med Company's common stock, which represents a 15 percent investment in Med. Ga does not have the ability to exercise significant influence over Med. Med declared and paid a dividen of $2 per share to its stockholders during the year. M reported net income of $520,000 for the year ended December 31. The balance in Gar's balance sheet account "Investment in Med Company" at December 31 should be * (2 Points) $560,000 $600,000 $638,000 $678,000 6. On January 1, Gar Company paid $600,000 for 20,000 shares of Med Company's common stock, which represents a 15 percent investment in Med. Ga does not have the ability to exercise significant influence over Med. Med declared and paid a dividen of $2 per share to its stockholders during the year. M reported net income of $520,000 for the year ended December 31. The balance in Gar's balance sheet account "Investment in Med Company" at December 31 should be * (2 Points) $560,000 $600,000 $638,000 $678,000

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