Balance sheet for the investment in flimsy

Assignment Help Accounting Basics

Reference no: EM13915836

On January 1, 2014, Flip Company purchased 10,000 shares of the stock of Flimsy, and did obtain significant influence. The investment is intended as a long-term investment. The stock was purchased for $90,000, and represents a 30% ownership stake. Flimsy made $25,000 of net income in 2014, and paid dividends of $10,000. The price of Flimsy's stock increased from $10 per share at the beginning of the year, to $12 per share at the end of the year.

Requirements:

a. Prepare the January 1 & December 31 general journal entries for Flip Company.

b. How much should the Flip Company report on the balance sheet for the investment in Flimsy as the end of 2014

Reference no: EM13915836

Questions Cloud

Elements of m : Problem 1: Let A = {3,5,7}, B={2,3}, C = {1,2,3,4,7}. Compute the following sets:

Creating mathematical expressions : Directions: Please show all of your work for each problem. If applicable, you may find Microsoft Word's equation editor helpful in creating mathematical expressions in Word. There is a tutorial on using this equation editor in Module 1 Lecture N..

What the author intended to do in the study or article : Explain what the author intended to do in the study or article. Summarize three or four of the most important findings of the study or article.

Creating class perform computation and display results : Create a class named Numbers whose Main() method holds two integer variables. Assign values to the variables. Within the class, create two methods, Sum () and Difference (), that compute the sum of and difference between the values of the two vari..

Balance sheet for the investment in flimsy : Company purchased 10,000 shares of the stock of Flimsy, and did obtain significant influence. The investment is intended as a long-term investment.How much should the Flip Company report on the balance sheet for the investment in Flimsy as the end of..

Determining the impact on the appropriate stakeholders : Analyze the economic theory used to complete the policy solution and determine the impact on the appropriate stakeholders.

Business expansion and sustainability : Identify three (3) job requirements (e.g., needed certifications, previous work experience, external influences, etc.) that could apply to your chosen scenario. Determine two (2) ways these requirements could impact staffing at your organization. ..

Determine the total amount of dividends : J&J Corporation had the following stock issued and outstanding at January 1, 2013:

Using proquest search for the keywords business plan : Using ProQuest, Factiva, EBSCO, or some other business database, search for the keywords business plan, and if you want more sources, for business model.

User Account

All Pages