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Elza [17]
3 years ago
12

Milani, Inc., acquired 10 percent of Seida Corporation on January 1, 2017, for $197,000 and appropriately accounted for the inve

stment using the fair-value method. On January 1, 2018, Milani purchased an additional 30 percent of Seida for $600,000 which resulted in significant influence over Seida. On that date, the fair value of Seida's common stock was $2,000,000 in total. Seida's January 1, 2018 book value equaled $1,850,000, although land was undervalued by $120,000. Any additional excess fair value over Seida's book value was attributable to a trademark with an 8-year remaining life. During 2018, Seida reported income of $300,000 and declared and paid dividends of $110,000. Prepare the 2018 journal entries for Milani related to its investment in Seida.
Business
1 answer:
lina2011 [118]3 years ago
6 0

Answer:

Milani, Inc.

January 1, 2018:

Debit Investment in Seida $600,000

Credit Cash Account $600,000

To record the purchase of an additional 30% of Seida.

December 31, 2018:

Debit Investment in Seida $120,000

Credit Net Income $120,000

To record the share in the net income of Seida.

Debit Cash Account $44,000

Credit Cash Dividend Received $44,000

To record the company's share in the dividend paid by Seida.

Debit Cash Dividend Received $44,000

Credit Investment in Seida $44,000

To record the dividend received from Seida.

Explanation:

The cash dividend received from Seida will reduce Milani, Inc.'s investment value in Seida, just as the 40% share in the net income increased the investment value.

These journal entries have been used to debit and credit accounts as transactions occur.  A journal plays an important role in recording transactions in the accounting system as it is usually the initial record of any transaction.  It also shows the accounts debited or credited with a short narration that explains each transaction.

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n project quality management, ________ involves monitoring specific project results to ensure that they comply with the relevant
melamori03 [73]

Answer:

Quality Control

Explanation:

The Quality control includes review each phase of the project and assessing whether the company has delivered its fair share according to the contract clauses and its implied duties. The quality controlers have a set of checks which provide sufficient evidence whether or not the relevant quality standards are met or not.

3 0
3 years ago
The company Lucy works for is made of cross-functional teams that focus on the project at hand. The projects they get are extrem
liberstina [14]

Answer:

Small batch and unit production.

Explanation:

Small batch and Unit production -

In this type of production , the primary focus of the organisation , is the satisfaction of the customer and is based on the preference of the customer .

For this type of manufacturing process , skilled labor and planning is very important to customize and prepare any good or service .

sometimes , the complete team focus on the production of the product one at a time , with lot of caution .

Hence , the information given in the question , the type of manufacturing process is best describes as Small batch and unit production .

6 0
3 years ago
In 2009, the U.S. government imposed a 35% tariff on tires imported from China. (The numbers and equations used here are simplif
Verdich [7]

Answer:

In 2009, the U.S. government imposed a 35% tariff on tires imported from China. (The numbers and equations used here are simplified based on the results of a much more complicated model.) Demand is given by QD = 105 − 1.5P where QD is in millions of tires per year. Supply is QS = 1.5873P − 15.87.

Explanation:

4 0
3 years ago
A global recession might limit the benefits of diversifying your investments because:________
Natasha2012 [34]

A global recession might limit the benefits of diversifying your investments because most investments may perform poorly if all countries are in a recession

A prolonged period of worldwide economic contraction is referred to as a global recession. As a result of trade links and international financial systems, economic shocks and the effects of recession spread from one nation to the next, causing more or less synchronized recessions in many national economies.

A decline in global per capita gross domestic product (GDP) is one of the factors the International Monetary Fund (IMF) employs to identify global recessions. The IMF defines this decline in global output as having to occur at the same time as a deterioration of other macroeconomic indices, such as trade, capital flows, and employment.

Learn more about global recession here

brainly.com/question/12483358

#SPJ4

6 0
1 year ago
Ok so i have a ton of questions i need answered for this test im taking. its on economics. anyone think they can help? thank you
satela [25.4K]
1. All of the following were powers given to the federal government by the National Banking Acts of 1863 and 1864 EXCEPT D. to dismantle privately owned banks 2. When economists measure opportunity cost to help determine the true value of economic decisions, they consider both the D. monetary and human value. 3. Which of the following was NOT an economic institution created in Europe to help foster economic unity among the countries there? D. European Union (EU) 4. Though the challenges of decision making are similar at all levels of the economy, B. the impact decreases as more people are involved. I think that the impact decreases as more people are involved because these people will be able to analyze many more aspects involving a decision as well as its corresponding consequences. The decision made will be a result of consensus among the people involved for the benefit of the majority if not all. 5. All EXCEPT which of the following options could describe the statement below? You get something and you give up something else. B. consumer sovereignty – This is a situation where the desire of the consumer affects the production of their desired goods. 6. Who proposed the first bank of the United States? B. Alexander Hamilton – He officially proposed the creation of the first bank during the first session of the First Congress. 7. As an economic institution, nonprofit organizations include D. professional organizations. The main purpose of these organizations is to make their profession better or more valuable for the people practicing the profession as well as for the benefit of the general public. 8. In economics, economic institutions serve to A. help establish and keep participation in the economy fluid. 9. Who is credited with first using cost-benefit analysis? B. Jules Dupuit – A French engineer and economist. He wrote an article in 1848 where the concept of Cost-Benefit analysis was presented. <span>
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5 0
3 years ago
Read 2 more answers
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