ZZ, Inc. acquired 39% of Davis Company's common stock for $300,000 on January 1, 2018. During 2018, Davis Company reported a net income of $180,000 and paid dividends totaling $30,000. For 2019, Davis Company earned a net income of $150,000 and paid dividends totaling $20,000. On December 31, 2019, ZZ, Inc. sold one-half of its investment in Davis Company for $208,000 cash.  Calculate the balance in the investment in Davis Company account at December 31, 2018.

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To calculate the balance in the investment in Davis Company account at December 31 2018 we need to d... View the full answer