Compute balance in stock investment account of james corp

Assignment Help Financial Accounting
Reference no: EM131335292

James (investor) Corporation acquires 25% of the common shares of Heck (investee) Company for $350,000 on January 1, 2014. For 2014, Heck reports net income of $50,000 and paid dividends of $16,000.

Instructions

(a) Prepare the entries for these transactions that James Corporation would make in the space provided below.

(b) Compute the balance in the stock investment account of James Corporation.

Reference no: EM131335292

Questions Cloud

Develop a script for public service announcement for radio : Develop a 30-second, one page script, public service announcement (PSA) for radio, to further bring attention to the issue of teen pregnancy during affecting education.Your PSA should include a "catchphrase" that makes your message memorable. Below..
Learning about security policies and implantation : We have now spent several weeks learning about security policies and implantation. Discuss the importance of having security policies in place. Be sure to provide thorough, detailed and well supported answers.
Why was the constitution a controversial document : Question - Why was the Constitution a controversial document even as it was being written
Different types of problem insurance claims : Identify the different types of problem insurance claims. Tell why you think a particular claim can be a "headache".Discuss follow-up techniques for tracking unpaid insurance claims
Compute balance in stock investment account of james corp : Prepare the entries for these transactions that James Corporation would make in the space provided below. Compute the balance in the stock investment account of James Corporation.
Explain what statistical discrimination is : If the incidence of poverty decreases during periods when the economy is growing and increases during periods when the economy is in recession, what government policies might be used to reduce poverty most effectively?
Computer forensics and traditional forensics : 1. The difference between computer forensics and traditional forensics. 2. Discuss the issues you deem important in computer forensics.
Why did women issues suddenly become so prominent : Why did women's issues suddenly become so prominent in American culture? BEFORE 1877
Write a critique for the firm current promotional activities : Classify these as either "push" or "pull" and critique the firm's current promotional activities and how the promotional activities are directed towards your target market.

Reviews

Write a Review

Financial Accounting Questions & Answers

  Identify the amount that should be transferred out of work

Using the FIFO method, prepare a process cost report for April. Identify the amount that should be transferred out of the Work in Process Inventory account, and state where those dollars should be transferred.

  Calculate the magnitude of operating leverage

Reconstruct the income statement using the contribution margin format and calculate the magnitude of operating leverage.

  What happens to cardinal e&p and general business credit

What basis will Wren have in the marketable securities and unimproved land it receives in the liquidation? What happens to Cardinal’s E&P and general business credit carryover?

  Provide the journal entry to record grieder payment

Spartan, Inc., regularly sells chemicals to Grieder Supply on terms 4/10, n/30 and records sales at gross. During a recent month, the two firms engaged in the following transactions.

  What is cost of goods sold relative to this forfeiture

Twelve percent of the containers were not returned. The deposits are based on the container cost marked up 20%. What is cost of goods sold relative to this forfeiture?

  Only variable costs and fixed costs

Bowman, Inc., has only variable costs and fixed costs. A review of the company's records disclosed that when 200,000 units were produced, fixed manufacturing costs amounted to $1,000,000 and the cost per unit manufactured totaled $19. On the basis of..

  Unprofitable product line-segment or department

Companies often choose to keep an unprofitable product line, segment, or department. Why is this so? What reasons can you think of for why the company may decide to do so? Examples?

  What is meaning of discounted value of expected net receipt

The financial vice-president has suggested that the patents be recorded at the discounted value of expected net royalty receipts. What is meaning of “discounted value of expected net receipts”? Explain.

  Describe whether john is entitled to a bad debt deduction

Though Maze was listed as a co-borrower, John repaid the loan in full in 2011. On Maze’s Form 1120 tax returns, no loans from shareholders were reported. Describe whether John is entitled to a bad debt deduction for the amount of the payment on th..

  Illustrate what is annual cash operating saving expected

A company can acquire a $700,000 machine now that will benefit the the company over the next 5 years, with a net present value of $134,000 using a 10% hurdle rate. Based on this information, illustrate what is the annual cash operating savings ex..

  What was jenson retained earnings at the end of year

Jenson Company began the year with retained earnings of $250,000. During the year, the company recorded revenues of $350,000, expenses of $275,000, and paid dividends of $30,000. What was Jenson’s retained earnings at the end of the year?

  Comparison of investment based on payback npv irr and

comparison of investment based on payback npv irr and profitability indexconsider the following two mutually exclusive

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd