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CBA Corporation has a 35% equity investment in FED, Inc. that was purchased on 1/1/15 for $600,000. FED had...

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CBA Corporation has a 35% equity investment in FED, Inc. that was purchased on 1/1/15 for $600,000. FED had 140,000 in net income for 2015 and paid total dividends of 7,000. On 12/31/15, the fair market value of this investment is $650,000. Record the journal entries if the fair value option is NOT used: Purchase: 1/1/15 Increase equity investment for 35% of FED income: 12/31/15 Decrease equity investment for 35% of FED dividends: 12/31/15

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If the fair value option is NOT used here are the journal entries for C View the full answer


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Related Book For  answer-question
Intermediate Accounting

Intermediate Accounting

ISBN: 978-0470161012

9th Canadian Edition, Volume 2

Authors: Donald E. Kieso, Jerry J. Weygandt, Terry D. Warfield.

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Posted Date: September 08, 2023 02:17:02
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