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quester [9]
2 years ago
13

On January 2, 2020, Howdy Doody Corporation purchased 17% of Ranger Corporation's common stock for $53,000. Ranger's net income

for the years ended December 31, 2020, and December 31, 2021, were $17,000 and $54,000, respectively. During 2020, Ranger declared and paid a dividend of $63,000. On December 31, 2020, the fair value of the Ranger stock owned by Howdy Doody had increased to $68,000. How much should Howdy Doody show in the 2020 income statement as income from this investment
Business
1 answer:
Yuri [45]2 years ago
3 0

Answer:

$25,710

Explanation:

Calculation to determine How much should Howdy Doody show in the 2020 income statement as income from this investment

First step is to calculate the Dividend received

Dividend received=($63,000 × 17%)

Dividend received = $10,710

Second step is to calculate the Increase in Fair value of Stock

Increase in Fair value of Stock=($68,000 - $53,000)

Increase in Fair value of Stock=$15,000

Now let calculate the How much should Howdy Doody show in the 2020 income statement as income from this investment

2020 income statement=$10,710+$15,000

2020 income statement=$25,710

Therefore The amount that Howdy Doody should show in the 2020 income statement as income from this investment is $25,710

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Answer:

D) Focused differentiation strategy.

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A focus differentiation strategy is meant to satisfy very different and specific needs of their customers. It is not just about making a different product that customers may like, it is about making very specific products that appeal to specific clients.

Jordan's Ice Cream is offering hundreds of customized products, each customized product appealing to a small number of clients. In this case, making unique ice cream combinations is not that expensive, but usually this type of strategy works well in very luxurious products.

7 0
2 years ago
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Three major segments of the transportation industry are motor carriers, such as YRC Worldwide (YRCW); railroads, such as Union P
erma4kov [3.2K]

Answer and Explanation:

The computation of the asset turnover for all three companies is as follows:

<u>Particulars        YRC            UNP                CH </u>

Sales                4697500    19941000          13144413

Divided by

Average

total assets     1824700       55159000          3436058

Assets turnover  2.6                0.4                    3.8

4 0
2 years ago
Which global environmental problem may be worsened by the use of gas hydrates as an energy source?
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<span>The energy source in gas hydrates is methane, which is trapped inside of ice. Extraction of the methane may result in leakage of small amounts of methane. This is a potential global environmental problem because methane is a very potent greenhouse gas.</span>
6 0
3 years ago
A cartel is a type of found in many countries. It is an agreement in which businesses agree not to with each other. Unlike many
lubasha [3.4K]

Answer:

C. They tend to produce thing with the same characteristics. Examples would include diamonds and oil.

Explanation:

A cartel is an organization established with a formal agreement between a group of producers of a good or service to regulate supply in order to regulate or manipulate prices.

In another parlance, a cartel is a collection of independent businesses or countries that act together as a single producer and thus fix prices for the goods they produce and the services they render, without competition.

An example of a cartel is The Organization of Petroleum Exporting Countries (OPEC). OPEC is the world's largest cartel. It is a group of 14 oil-producing countries whose purpose is to coordinate and unify the petroleum policies of its member countries and ensure the stabilization of oil markets.

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3 years ago
Held-to-maturity securities a.are reported at fair value. b.include equity securities. c.are not intended to be held until the m
Hitman42 [59]

Answer:

The correct answer is option D,held-to-maturity securities  include corporate notes and bonds.

Explanation:

Held-to-maturity securities are normally debt instruments purchased with aim of keeping them till maturity so as to collect the principal amount invested as well as the related interests,since they are not held for short-term gains,they are not reported at fair values.

Securities held for short-term to be realized in short-term are reported at fair values

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