What was the balance in the investment in lennon co account

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Question

On January 1, 2018, Pacer Company paid $1,920,000 for 60,000 shares of Lennon Co.'s voting common stock which represents a 45% investment. No allocation to goodwill or other specific account was necessary. Significant influence over Lennon was achieved by this acquisition. Lennon distributed a dividend of $2.50 per share during 2018 and reported net income of $670,000.

What was the balance in the Investment in Lennon Co. account found in the financial records of Pacer as of December 31, 2018?

Reference no: EM132345252

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