Annie, Inc uses the Simple Equity Method to account for the net income of January Co , a company Annie, Inc owns 100 of the outstanding stock of When January Co reports quarterly Net Income of $10,000 on 9 30 2X, Annie, Inc will Question 12 options a) Debit Dividends Receivable and Credit Investment Income $2,500 as it's only for a quarter of the year b) Annie, Inc will make no journal entry resulting from this transaction c) Debit the Investment and Credit Investment Income $10,000 d) Debit Investment Income and Credit the Investment $10,000

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Question: Annie, Inc. uses the Simple Equity Method to account for the net income of January Co., a company Annie, Inc. owns 100% of the outstanding

Annie, Inc. uses the Simple Equity Method to account for the net income of January Co., a company Annie, Inc. owns 100% of the outstanding stock of. When January Co. reports quarterly Net Income of $10,000 on 9/30/2X, Annie, Inc. will:

Question 12 options:

a)	Debit Dividends Receivable and Credit Investment Income $2,500 as it's only for a quarter of the year

b)	Annie, Inc. will make no journal entry resulting from this transaction

c)	Debit the Investment and Credit Investment Income $10,000

d)	Debit Investment Income and Credit the Investment $10,000

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