Fisher report as equity in earnings of steele

Assignment Help Financial Accounting

Reference no: EM13745005

On January 1, 2015 Fisher Corp paid $2,290,000 for 35% of the outstanding voting stock of Steele, Inc and appropriately applies the equity method for its investment. Any excess cost over Steele's book value was attributed to Goodwill. During 2015, Steele reports $720,000 in net income, a $100,000 other comprehensive income loss. Steele also declares and pays $20,000 in dividends.

a) what amount should Fisher report as its investment in Steel on 12/31/15 balance sheet

b) what amount should Fisher report as Equity in Earnings of Steele on its 2015 income statement

Reference no: EM13745005

Questions Cloud

Was hoopers computer an expense of the business : Bill Hooper opened a software consulting firm that immediately paid $6,000 for a computer. Was Hooper’s computer an expense of the business? If not, explain.

Discuss the current economic situation in the u.s. : Discuss the current economic situation in the U.S. as compared to five (5) years ago. Include interest rates, inflation, and unemployment rate in your explanation.

General area of network security is obviously of enormous : The general area of network security is obviously of enormous corporate and national importance. And there's no doubt that intrusion detection and prevention is a principal concern. Lately there have been a number of concerted security attacks on maj..

What is the partial pressure of nitrogen in the air : You begin your survey at the summit of Mount Ruapehu (elevation = 2797 m, barometric pressure = 540 mmHg) on the North Island where you find a small community of insects. The relative humidity at the site is 52% and the temperature is 10°C. What i..

Fisher report as equity in earnings of steele : On January 1, 2015 Fisher Corp paid $2,290,000 for 35% of the outstanding voting stock of Steele, Inc and appropriately applies the equity method for its investment. Any excess cost over Steele's book value was attributed to Goodwill. During 2015, St..

Individual reflection- handling difficult conversations : What is the cost of avoiding a difficult or stressful conversation. At the workplace, avoiding such conversations can lead to absenteeism, low morale, and-in some circumstances-costly litigation

The temporary book–tax difference for the depreciable asset : Ayres Services acquired an asset for $80 million in 2013. The asset is depreciated for financial reporting purposes over four years on a straight-line basis (no residual value). For tax purposes the asset’s cost is depreciated by MACRS.

Identify multiple business pressures on xerox : With the advent of scanners and the universality of the portable document format (PDF), the market for optical copiers is shrinking rapidly. Can a company such as Xerox Corporation survive?

Services reports warranty expense by estimating the amount : Lance Lawn Services reports warranty expense by estimating the amount that eventually will be paid to satisfy warranties on its product sales. For tax purposes, the expense is deducted when the cost is incurred. At December 31, 2013, Lance has a warr..

User Account

All Pages