Which a dividend from the investee is

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Question 1: If an investor owns 18% of an investee, a dividend from the investee is:

Multiple Choice

Option 1: A direct increase to retained earnings of the investor to offset the direct decrease to retained earnings of the investee.

Option 2: Income to the investor in the period of declaration.

Option 3: An expense to the investor in the period of declaration.

Option 4: A reduction of the carrying amount of the investment.

Reference no: EM132721835

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