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Question: Big owns 60% oflittle and at December 31,2012, its investment in Little account stands at $6,000,000. On that date Big sells half its ownership for $4,000,000 cash.
a. Prepare the kournal entry to be recorded by Big on December 31, 2012.
b. Same facts as above, except the sales price is $2,500,000 cash. Prepare the journal entry to be recorded by Big on December 31,2012.
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