On March 1, Dunder Corp purchased 1,400 (or 13%) of the common shares of Mifflin Corp for
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On March 1, Dunder Corp purchased 1,400 (or 13%) of the common shares of Mifflin Corp for $31 per share. Legal fees of $1,000 were incurred on the purchase. On December 1, Mifflin Corp declared and paid $11,000 of dividends. On December 31, shares of Mifflin Corp were trading at $54 per share. The investment was recorded using FVTPL.
Calculate the total impact to Net Income that this investment would have during the year.
Related Book For
Advanced Financial Accounting
ISBN: 978-0132928939
7th edition
Authors: Thomas H. Beechy, V. Umashanker Trivedi, Kenneth E. MacAulay
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