User Account

All Pages

What the income reported by kimberley

Assignment Help Accounting Basics
Reference no: EM133136984

Question - Kimberley, Incorporated acquires 10% of Innovative Corporation on January 1, 2021, for $60,000 when the book value of Innovative was $600,000. During 2021 Innovative reported net income of $180,000 and paid dividends of $40,000. On January 1, 2022, Kimberley purchased an additional 20% of Innovative for $150,000. Any excess cost over book value is attributable to goodwill with an indefinite life.

The fair-value method was used during 2021 but Kimberley has deemed it necessary to change to the equity method after the second purchase. During 2022 Innovative reported net income of $200,000, and reported dividends of $50,000.

Required - What the income reported by Kimberley for 2022 with regard to the Innovative investment?

Reference no: EM133136984

Questions Cloud

Difference between aggression and violence : Identify the difference between aggression and violence
Positive impact on the organizational outcomes : Alignment of the training and development strategy with the company strategy is critical to ensure employees have the necessary tools to achieve the objectives
Funding of a local government : Write with cited sources, an editorial denouncing the use of fee for service and other non-tax sources for the funding of a local government.
Enterprise car rental management trainee program : Applicant screening is the first phase of selection where the goal is to eliminate candidates who do not meet the minimum qualifications (MQs) established for a
What the income reported by kimberley : During 2022 Innovative reported net income of $200,000, and reported dividends of $50,000. What the income reported by Kimberley
What would be the amount of total contribution : If the company uses a marginal costing approach to prepare its profit statement, what would be the amount of total contribution shown in the budget statement
Project on influence of technology on social cues : Project on influence of technology on social cues - select one social issue or problem related to people that involves technology
How much is the discount on notes payable to be recorded : Laguna Company purchased a machine with a cash price of P350,000. How much is the discount on notes payable to be recorded on the date of purchase
Case study of quality of performance assessment : Individually read case study on The Quality of Performance on page 219 and complete question 1,2 and 4

Reviews

Write a Review

Accounting Basics Questions & Answers

  How much control does fed have over this longer real rate

Hubbard argues that the Fed can control the Fed funds rate, but the interest rate that is important for the economy is a longer-term real rate of interest.   How much control does the Fed have over this longer real rate?

  Coures:- fundamental accounting principles

Coures:- Fundamental Accounting Principles: - Explain the goals and uses of special journals.

  Accounting problems

Accounting problems,  Draw a detailed timeline incorporating the dividends, calculate    the exact Payback Period  b)   the discounted Payback Period. the IRR,  the NPV, the Profitability Index.

  Theory of interest - term structure of interest rates

Term Structure of Interest Rates

  Write a report on internal controls

Write a report on Internal Controls

  Prepare the bank reconciliation for company

Prepare the bank reconciliation for company.

  Cost-benefit analysis

Create a cost-benefit analysis to evaluate the project

  Theory of interest

Theory of Interest: NPV, IRR, Nominal and Real, Amortization, Sinking Fund, TWRR, DWRR

  Liquidity and profitability

Distinguish between liquidity and profitability.

  What is the expected risk premium on the portfolio

Your Corp, Inc. has a corporate tax rate of 35%. Please calculate their after tax cost of debt expressed as a percentage. Your Corp, Inc. has several outstanding bond issues all of which require semiannual interest payments.

  Simple interest and compound interest

Simple Interest, Compound interest, discount rate, force of interest, AV, PV

  Capm and venture capital

CAPM and Venture Capital

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!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

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