Question: Hi Anyone know how to this problem? 1) FRED CORP HAS THE FOLLOWING DATA REGARDING AN INVESTMENT: PER SHARE SHARES PURCHASED 425,000 OWNERSHIP PERCENTAGE IN

Hi Anyone know how to this problem?

1) FRED CORP HAS THE FOLLOWING DATA REGARDING AN INVESTMENT:

PER SHARE

SHARES PURCHASED 425,000

OWNERSHIP PERCENTAGE IN INVESTEE 17%

PURCHASE PRICE 531,250 1.25

INVESTEE NET INCOME 450,000 0.18

DIVIDEND/SHARE 0.05 0.05

FMV/SHARE AT Y/E 1.85

SOLD AT 01/05/02: FMV/SHARE 1.97

REQUIRED: ALL JOURNAL ENTRIES ASSOCIATED WITH AN EQUITY METHOD SECURITY

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