How much Baltimore Company should report for its investment

Assignment Help Financial Accounting
Reference no: EM132805350

Question - On January 2, 2018, Baltimore Company purchased 14,000 shares of the stock of Towson Company at $14 per share. Baltimore obtained significant influence as the purchase represents a 40% ownership stake in Towson Company. On August 1, 2018, Towson Company paid cash dividends of $19,000. Baltimore Company intended this investment to a long-term investment. On December 31, 2018, Towson Company reported $50,000 of net income for FY 2018. Additionally, the current market price for Towson Company's stock increased to $23 per share at the end of the year. Use this information to determine, how much Baltimore Company should report for its investment in Towson Company on December 31, 2018.

Reference no: EM132805350

Questions Cloud

Hacking manufacturing systems : Write essay on hacking manufacturing systems. Recent hacks happened for the automotive industry
Describe the advantages and disadvantages of receivables : Describe the advantages and disadvantages of factoring receivables for your business. How quickly will your company be paid in cash
Discuss about the early islamic history : What 3 aspects did you learn from the PBS documentary film Islam Empire of Faith Part 1 and from reading the article about early Islamic history?
How much is the combined total assets : The provisional fair value of the noncurrent assets of Charm increased by P2, 250. How much is the combined total assets at the end of 2013?
How much Baltimore Company should report for its investment : Use this information to determine, how much Baltimore Company should report for its investment in Towson Company on December 31, 2018
Explain the sex trafficking and labor trafficking : While the media and certain NGOs (non-governmental organizations) focus on sex trafficking, labor trafficking is nearly as prevalent, or even more so.
What amount of total assets did beta reported : What amount of total assets did Beta reported in its balance sheet immediately after the acquisition; what amount of assets was reported in the consolidate
What would cash flow from operations have been : What would cash flow from operations have been if Quantum, LLC. had used the double-declining balance method
Network scanning techniques : Explain in your own words what type of information can be obtained by using network scanning techniques

Reviews

Write a Review

Financial Accounting Questions & Answers

  Financial statement analysis and preparation

Financial Statement Analysis and Preparation

  Shareholder of a company

Describe the ways that a person can become a shareholder of a company. Why Wal-Mart would split its stock?

  Financial and accounting principles

An understanding of financial and accounting principles can be a valuable tool for managers. While not all managers will find themselves calculating financial ratios or preparing annual financial data.

  Prepare a statement of cash flow using the direct method

Prepare a Statement of Cash Flow using the Direct Method and Prepare the Operations section of the Statement of Cash Flow using the Indirect Method.

  Financial accounting assignment

This assignment has one case study and two question apart from case study. Questions related to document Liquidation question and Company financial statements question - Torquay Limited

  Prepare general journal entries for goela

Prepare general journal entries for Goela Ltd

  Principles of financial accounting

Prepare the journal entry to record the acquisition of the assets.

  Prepare general journal entries to record the transactions

Prepare general journal entries to record the transactions, assuming use of the periodic inventory system

  Global reporting initiative

Compare the view espoused by the economist Milton Friedman about the social responsibilities of business with the views express by Stigler.

  Explain the iasb conceptual frameworks

Explain the IASB Conceptual Framework's perspective of users and their decisions.

  Determine the company''s financial statements

T he focus of the report is to determine the extent to which you are comfortable relying on the financial statements as presented by management .

  Computation of free cash flow

Computation of Free Cash Flow

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd