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
sergiy2304 [10]
4 years ago
7

Frankfort Corporation purchases an investment in Bradley, Inc. at a purchase price of $9.8 million cash, representing 40% (at bo

ok value) of Bradley. During the year, Bradley reports net income of $1,680,000 and pays $413,000 of cash dividends. At the end of the year, the market value of Frankfort’s investment is $11.9 million. What amount of equity earnings would be reported by Frankfort Corporation? A. $165,000 B. $672,000 C. $507,000 D. $1,267,000 E. None of the above
Business
1 answer:
Schach [20]4 years ago
4 0

Answer:

The correct answer is B

Explanation:

The amount of equity earnings will be computed as:

Amount of earnings = Frankfort share in net Income of Bradley × Bradley Net Income

where

Frankfort share is 40%

Net Income of Bradley amounts to $1,680,000

Putting the values above in the amount of earnings:

= 40% share × $1,680,000

= $672,000

Therefore, the option B is correct.

You might be interested in
If Vernon and his parents forget to file the FAFSA, what are the consequences?
butalik [34]
Fafsa is the student financial aid program, so Vernon would not be able to obtain financial aid for college:( poor vernon
3 0
4 years ago
If a test is being used to make a dichotomous decision (e. G. , suitable or unsuitable for the job), the _____ marks the point o
wolverine [178]

If a test is being used to make a dichotomous decision (e. G. , suitable or unsuitable for the job), the cutting marks the point of decision.

<h3>What is the usefulness of cut off mark in a test?</h3>

cut off mark in a test is been used in the selection process after the test which is very important in the point of decision.

And this will be necessary to get the good hand for the job when the  test is being used to make a dichotomous decision.

Learn more about  cut off mark at:brainly.com/question/25997960

#SPJ12

3 0
2 years ago
Two years ago, Kimberly became a 30 percent partner in the KST Partnership with a contribution of investment land with a $14,750
Jlenok [28]

Answer: A) $3,425 B)$5,950 C)$18,175

Explanation:

a)Kimberly's capital gain = land's Fair market value -non contributed land's Fair market value  = $26,075- $22,650= $3,425

b)Kimberly's basis after the distribution = basis  in KST + gain - Carryover basis in land = $20,700 + $3, 425 -  $18,175 = $5,950

c) KST's basis on the land =KST land's basis on contribution+ Kimberly's gain = $14,750+$3, 425 = $18,175

7 0
3 years ago
Match each term to the correct defintion. ​
babymother [125]

Answer:

A = 2

B = 1

C = 3

D = 4

Explanation:

3 0
3 years ago
Which of these is an example of discretionary spending?
aliya0001 [1]
<span>D is the correct answer. Discretionary funding is not essential for a person to live. Rent and groceries both provide basic human needs of shelter and food respectively, and deb repayment is necessary to avoid bailiffs. Vacations are an unecessary expense.</span>
3 0
3 years ago
Read 2 more answers
Other questions:
  • Anderson Corporation predicts that this year's sales will total $7,500,000. The selling price for their product is $62.50 per un
    15·1 answer
  • In order for team members to communicate effectively, they need the discipline to _______.
    6·2 answers
  • Price in a perfectly competitive industry: Select one:_____
    14·1 answer
  • Discuss how the poverty issues can be a challange to social responsibility?
    10·1 answer
  • The gestation period for cats has an approximate mean of 64 days and a standard deviation of 3 days. The distribution of the ges
    8·1 answer
  • A JIT system uses kanban cards to authorize movement of incoming parts. In one portion of the system, a work center uses an aver
    14·1 answer
  • What inspired Selfridge to ensure that customers in his store could browse at their leisure?
    11·1 answer
  • What are the marketing objectives when a product is at the introduction stage?
    11·2 answers
  • A survey conducted recently in China showed that in the last two years, Investments in the businesses increased by almost 75%. T
    15·1 answer
  • Question 9 of 20
    10·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!