Question: On January 01, 2021, Tiny Company bought back a portion of its own stock as treasury Due to this transaction, Large Company's percentage share of

On January 01, 2021, Tiny Company bought back a portion of its own stock as treasury Due to this transaction, Large Company's percentage share of Tiny Company's voting stock increased from 25% to 30%. For 2021. Tiny Company had $10.000 net loss and paid no dividend. Prepare a journal entry on the following date showing computation in short form. (3) On December 31, 2021

On January 01, 2022, Large Company sold half of its investment to Medium Company for $50,000 cash.

Prepare a journal entry on the following date showing computation in short form.

On January 01, 2022

After the sale of investment, (5) what is Large Company's percentage of ownership in Tiny Company, and (6) can Large Company continue to use equity method, probably yes, or probably no why ? Answer in concise and complete sentences.

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer

Step: 1 Unlock blur-text-image

Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock

Step: 3 Unlock

Students Have Also Explored These Related Accounting Questions!

On January 01, 2020, Tiny Company bought back a portion of its own stock as treasury. Due to this transaction, Large Companys percentage share of Tiny Companys voting stock increased from 25% to 30%....

On January 01, 2020, Tiny Company bought back a portion of its own stock as treasury. Due to this transaction, Large company's percentage share of Tiny Company's voting stock increased from 25% to...

Question 18 8 pts Be sure to answer all four parts of this question, and to format your entries appropriately. Prepare the appropriate journal entries, if required, for the following items: a. Sold...

EX 7 1. The Vernon Corporation was formed on January 2, 2014. The company sold 20,000 shares of $8.00 par value stock for $20.00 per share. On July 1, 2014, Vernon bought back 4,000 shares of stock...

Please help me analyze the company's financial statements and/or pro-forma and design financial projections from the Boston Beer Co. Value Line for the years 2020 and 2021 (the 2020 projection is...

How is a business executive summary written supported by financial ratio analysis? Assignment -- The Board of Directors of Boston Beer Company has employed you as a consultant to assess the company's...

I would love some help with this analytical measure!! (Below is any information you should need) (Instructions) Perform analytical measures for Columbia Sportswear for the most current year. Complete...

I would love some help with this analytical measure!! (Instructions) Perform analytical measures for Columbia Sportswear for the most current year. Complete the Liquidity, Solvency and Profitability...

Teuro5 For the year ending December 31, 2021, the Company's income statement is as follows: Revenues $1,093,000 Expenses: Cost Of Goods Sold ($206,000) Administrative Costs ( 152,000) Amortization...

In the long-term liabilities section of its balance sheet at December 31, year 1, Mene Co. reported a capital lease obligation of $75,000, net of current portion of $1,364. Payments of $9,000 were...

1. Why security of information system for e-commerce is important? 2. Identify, and describe ec security threats, vulnerabilities, and risk? 3. Identify and asses major technologies and methods for...

he Euler Hermes country risk rating is based on Question 9 options: 1 ) spread of the required interest rate on a country's debt over LIBOR. 2 ) a number of economic and political factors weighted...

Which of the following are problems with identifying users of ABC? Multiple select question. ABC means different things to different organizations. Organizations will announce the discontinuance of...

A What are the benefits of having an audio file available? Why is podcasting more effective than old-fashioned analog recordings? 2 Are downloaded presentations as effective as live ones? Can they...

What techniques can you use to look at a subject and find its relevance to you or to your audience? How can these tactics help you create more interesting informative speeches?

A Kotbs approach to informing women about sex is a far cry from the often lighthearted and humorous approaches used by talk show hosts in the United States. How might her approach to informative...