Question

On January 1, Mumford purchased 10% of Heller's common stock. On September 1, it purchased another 30% of Heller's common stock. During November, Heller declared and paid a cash dividend on its common stock. [NOTE: Assume transition is the retrospective approach for fiscal years (and interim periods) beginning before December 15, 2016.]How much income from Heller should Mumford report on its income statement?A. 10% of Heller's income for January 1 to August 31, plus 40% of Heller's income for the remainder of the yearB. 40% of Heller's income from September 1 to December 31 onlyC. 30% of Heller's incomeD. The amount of dividends received from Heller

Answer 1

10% of Heller's income for January 1 to August 31, plus 40% of Heller's income for the remainder of the year.

Explanation:

In spite of a retrospective strategy, Mumford puts the 10 per cent owned by the creditor firm together with the 30% purchased on Sep 1 which accounts for 40 per cent of the sales of Heller.

Retrospective, the committee focuses on the team members ' collaboration and looks for ways to enhance the process, based on the lessons learned in the recent work .

It is time to reflect on past events and experiences – outside the daily routine.

Retrospective thinking occurs whenever one remembers something from the past, but one can also think retrospectively about hypothetical future events, by imagining that the event has already transpired and then working backward in the mind from the future toward the present.