Question: can I please get help with the correct answer. Reporting a Change from the Equity Method to Insignificant Influence Assume on August 1,2022, an investor
can I please get help with the correct answer.


Reporting a Change from the Equity Method to Insignificant Influence Assume on August 1,2022, an investor company owns 32% of the common stock of an investee and can exercise significant influence over the investee. On this same date, the investor sold, for $90,000,24% of the outstanding common stock of the equity investment to an unaffliated party. Immediately preceding this sale, the investor's balance of the 32% Equity nvestment account was 572,000 . As a result of this sale, the investor sold 75% of its previously held investment (i.e., 24\%/32\%) and now retains 25% of the previous investment. Required a. Assume the investor determined the investee's stock does have a readily determinable fair value. Prepare the journal entry (or entries) the investor company should record on August 1,2022. b. Assume the investor determined the investee's stock does not have a readily determinable fair value, and the transaction resulting in the loss of 5 gnificant influence does provide an observable price change in orderly transactions for the identical or a similar investment of the same issuer. Prepare the journal entry (or entries) the investor company should record on August 1, 2022 c. Assume the investor determined the investee's stock does not have a readily determinable fair value, and the transaction resulting in the loss of significant influence does not provide an observable price change in orderly transactions for the identical or a similar investment of the same issuer. Prepare the journal entry (or entries) the investor company should record on August 1, 2022 . observable price change in orderly transactions for the identical or a similar investment of the same issuer. Prepare the joumal entry (or entries) the investor company should record on August 1, 2022. c. Assume the investor determined the investee's stock does not have a readily determinable fair value, and the transaction resulting in the loss of significant influence does not provide an observable price change in orderly transactions for the identical or a similar investment of the same issuer. Prepare the journal entry (or entries) the investor company should record on August 1, 2022
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