Pareto Corporation owns 40% of Spring Corporation. During Year 3, Spring has net income of $60,000 . What entry should Pareto record related to its investment in Spring during Year 3?
a. Investment in Spring Corp. 24,000
Equity in Earnings of Affiliate 24,000
b. Dividend Receivable 24,000
Dividend Income 24,000
c. Investment Receivable 24,000
Investment Income 24,000
d. Investment in Spring Corp. 24,000
Investment Income 24,000
e. Investment in Spring Corp. 24,000
Cash 24,000
A
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Indicate whether the statement is true or false
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