A Company has purchased 100,000 shares of Company B for $5,000,000. This represents 20% ownership. What journal

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A Company has purchased 100,000 shares of Company B for $5,000,000. This represents 20% ownership.

What journal entry, if any, would A make in the following situation:

If A learns that the value of B's shares has increased by $2 per share and Alpha uses the fair value method to account for this investment?

Related Book For answer-question

Government and Not for Profit Accounting Concepts and Practices

ISBN: 978-1118983270

7th edition

Authors: Michael Granof, Saleha Khumawala, Thad Calabrese, Daniel Smith

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Posted Date: Apr 08, 2023 01:07 AM

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A Company has purchased 100,000 shares of Company B for $5,000,000. This represents 20% ownership. What journal

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When a company such as A invests in another company such as B it can account for that inves... View the full answer

Government and Not for Profit Accounting Concepts and Practices

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