1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
nexus9112 [7]
3 years ago
15

Suppose that on January 6, 2018, Excel Motors paid $240,000,000 for its 45% investment in Dynamic Motors. Excel has significant

influence over Dynamic after the purchase. Assume Dynamic earned net income of $10,000,000 and paid cash dividends of $15,000,000 to all outstanding stockholders during 2018. (Assume all outstanding stock is voting stock.) Read the requirements Requirement 1. What method should Excel Motors use to account for the investment in Dynamic Motors? Give your reasoning. Excel Motors should use the ▼ method to account for its investment in Dynamic Motors because the investment Requirement 2. Journalize all required 2018 transactions related to Excel Motors's Dynamic investment.

Business
1 answer:
goldenfox [79]3 years ago
3 0

Answer:

Requirement 1 :

Excel Motors should use the Equity method to account for its investment in Dynamic Motors, because the investment results in significant influence over the invested company.

Requirement 2 :

In the books of Excel Motors:

[ Kindly find the attachment ]

You might be interested in
Marigold Corp.'s account balances at December 31, 2020 for Accounts Receivable and the related Allowance for Doubtful Accounts a
strojnjashka [21]

Answer:

The necessary adjusting entry would include a credit to the allowance account for $40080

Explanation:

Marigold Corp.'s Account Balances

At December 31, 2020

Accounts Receivable  $917000 Debit

Allowance for Doubtful Accounts $1920 credit

Bad Debts                                $42000

Unadjusted Balance  of Uncollectibles          $ 1920

<u>Estimated Balances                                         $ 42000</u>

<u>Required  Adjustment                                      $ 40080</u>

<u />

The data tells that the Allowance for Doubtful Accounts  has a credit balance of $1920 the required adjustment to the allowance for doubtful accounts is $ 40080. The required entry is

Bad debts Expense            40,080 Dr.

Allowance for Doubtful Accounts $40,080 credit

4 0
3 years ago
The median age for u.s. blacks currently is 30.9 years; for u.s. whites it is 42.3 years. (a) based upon this information, give
Marrrta [24]

There are quite a few reasons that this difference could be observed. The lower black median age could be connected to the greater number of births in the black minority group than in the whites. Another reason could be the aging of the non-Hispanic white group to a post child-bearing age and consequently the general aging of this subgroup of the population. In general, differences in group medians are due to the distribution of ages and the observed range of the ages in the two dissimilar population groups.

7 0
3 years ago
Kinda running back on my payments anyone got spare change -apple pay numbers below god bless you all
Mandarinka [93]
Ummmmmmmmmmmmmmmmmmmmmm
6 0
2 years ago
Read 2 more answers
Amanda and Jeremy argue about the employment of children in tobacco farms in a certain part of the world. Jeremy is of the view
mixas84 [53]

Answer:

Utilitarianism.

Explanation:

Utilitarianism is extraordinary compared to other known and most compelling moral theories. Like different types of consequentialism, its center thought is that whether activities are morally right or wrong relies upon their belongings. All the more explicitly, the main impacts of activities that are important are the great and terrible outcomes that they produce.

8 0
3 years ago
Tampa Tribune's dominant strategy is ____________ (low price, high price, it has no dominant strategy).
Masja [62]

Answer:

Low price

Explanation:

Tampa tribune dominant strategy is low price. If the company keeps its prices high it can get maximum revenue of $88 whereas if the company keeps its prices low it can make maximum revenue of $120. The difference of $32 is gained when the prices are kept and this is dominant strategy for Tampa Tribune.

4 0
3 years ago
Other questions:
  • Diego is arrested for a theft committed by someone who stole his identity. A court orders his release, but due to a police error
    5·1 answer
  • Which of the following is true about product​ markets?
    12·1 answer
  • The consumers union has proved effective in forcing businesses to change unethical behavior
    5·1 answer
  • Borden, inc. wants to develop a new line of great tasting, low-calorie, low-fat, and low-cholesterol processed cheese products.
    7·1 answer
  • If the required reserve ratio is 20 percent and commercial bankers decide to hold additional excess reserves equal to 5 percent
    10·1 answer
  • Allure Company manufactures and distributes two products, M and XY. Overhead costs are currently allocated using the number of u
    7·1 answer
  • In facility location decision making matching the educational and skill levels of the labor pool to a company's needs is even mo
    15·1 answer
  • What if the meaning of the cumulative EAC (cell M105) at the conclusion of Period 6?
    8·1 answer
  • A high-tech computer company reported the following information in a recent annual report (all dollar amounts are expressed in m
    13·1 answer
  • Help
    7·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!