How much shall be recorded as investment income

Assignment Help Accounting Basics
Reference no: EM132891611

Question - Heart Corporation owned 20% of Ross Inc's preference share capital and 50% of the ordinary share capital. Ross Inc's share capital outstanding comprised the following at year-end:

10% cumulative preference share capital - 2,000,000

Ordinary share capital - 7,000,000

Ross Inc. reported net income of $5,000,000 for the current year. How much shall be recorded as investment income for the current year if the preference share capital of Ross Inc. are non-cumulative and that Ross Inc. paid $1,000,000 cash dividends for the current year?

Reference no: EM132891611

Questions Cloud

Effects of judicial abuse of power and misconduct : Discuss the effects of judicial abuse of power and misconduct, as well as any remedies. Discuss whether there is concern for the tone and language Judge Wilson
Media define desirable women and men : Find a popular magazine and identify examples of the generalized other's perspective. How does the media define desirable women and men?
Discuss the implications of this for ethical practice : Discuss the implications of this for ethical practice.
Compute the forward rate : Question - If the 5- and 5.5-year par yields are both at 2%, compute the forward rate from 5 to 5.5 years
How much shall be recorded as investment income : Ross Inc. reported net income of $5,000,000 for the current year. How much shall be recorded as investment income for the current year
Create environment in which all team members : Help create an environment in which all team members can contribute, develop, and fully use their talents.
Executive officer of bank and drives to work : Jeffery is executive officer of bank and drives to work every day. Today, he wakes up later than his usual time as he has attended party last night till dawn
Blackacre in fee simple absolute : Oscar, the owner of Blackacre in fee simple absolute, conveyed Blackacre "to Anna and her heirs insofar as the premises are not used for gambling,
Albert carr theory of business is poker game : Discuss why Goldman Sachs was a disciple of Albert Carr's theory of "business is a poker game and we are all bluffing

Reviews

Write a Review

Accounting Basics Questions & Answers

  What was the firms budgeted payables balance

If purchases for April, May, and June were $200,000, $160,000, and $250,000, respectively, what was the firm's budgeted payables balance on June 30?

  Find the data and research findings

The purpose of this assignment is to begin drafting an internal business proposal that outlines how you will implement the solution to the problem.

  Prepare the table showing the yearly depreciation

The equipment is expected to last 5 years. Prepare the table showing the yearly depreciation, accumulated depreciation, and net book value of the equipment

  Compare alternative a to alternative b showing incremental

timo company is considering two alternatives. alternative a will have sales of 151400 and costs of 101300. alternative

  Prepare a bond interest expense and premium amortization

Prepare a bond interest expense and premium amortization schedule using the straight line method.

  Determine the over or underapplied overhead

Using the closeout to the COGS method, determine the over or underapplied overhead and show the journal entry to close the manufacturing overhead account

  What final amount would motlow report on its balance sheet

What final amount would Motlow report on its balance sheet for the Lancaster investment at the end of the year?

  Description of the adjustment

A description of the adjustment and why it is necessary. Provide an example of the transaction; include the debit and credit, with dates and amounts.

  Prepare aamodt entries to record the returns

Aamodt Music sold CDs to retailers and recorded sales revenue of $700,000. During 2014, retailers returned CDs to Aamodt and were granted credit of $78,000.

  Discuss fees for advice given for the year ended june

Fees for advice given for the year ended 30 June 2016 for $8000 were collected in the current year and are included above

  Calculate depletion per unit

A coal mine cost $1,008,000 and is estimated to hold 53,000 tons of coal. There is no residual value. During the first year of operations

  In the erie division cost of goods sold is 60000 variable

in the erie division cost of goods sold is 60000 variable and 16500 fixed and operating expenses are 25000 variable and

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