Timbers stock acquisition

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Reference no: EM13753101

On January 1, 2014, The Timber Company acquired a 12% interest in the Twig Corporation through the purchase of 72,000 shares of Twigs common stock, paying $422,000. During 2014, Twig paid $28,000 in total dividends and reported net income of $95,675. The market price of Twigs common stock was $5.44 per share on December 31, 2014.

Journalize the following:

A. Timbers stock acquisition

B. Timbers realized income for 2104

C. Entry or entries to adjust the investment account to its appropriate 12/31/14 balance.

Reference no: EM13753101

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Timbers stock acquisition : On January 1, 2014, The Timber Company acquired a 12% interest in the Twig Corporation through the purchase of 72,000 shares of Twigs common stock, paying $422,000. During 2014, Twig paid $28,000 in total dividends and reported net income of $95,675...

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