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LenKa [72]
3 years ago
6

An investor company uses the equity method to account for its investment in 25% of the outstanding common stock of an investee c

ompany. How should cash dividends received from the investee affect the financial statements of the investor
Select one:
a. A decrease in the Equity Investment account
b. A decrease in retained earnings
c. An increase in the Equity Investment account
d. Dividend income
Business
1 answer:
masya89 [10]3 years ago
4 0

Answer:

Option A is correct.

<u>A decrease in the Equity Investment account</u>

Explanation:

Dividend received amount decreases the investment account. Net income interest in investee account is added to the investment account.

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Leaf Lovers Garden Centers is a chain of discount gardening stores throughout the United States. Top management realizes that am
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Decentralised

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Rent control policies tend to cause
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Answer:

The correct answer is d.  relatively smaller shortages in the short run than in the long run because supply and demand tend to be more inelastic in the short run than in the long run.

Explanation:

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In the United States, rent control laws were adopted during World War II when the country was experiencing a housing shortage. President Richard Nixon then passed the wage and price laws that influenced the modern rent control laws that are still being applied today. This is why most rent control laws usually apply to older properties built before 1980.

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