Cartel Inc owns 35 percent of Elliott Corporation. During the calendar year 2014, Elliott had net earnings of $300,000 and paid dividends of $36,000 . Cartel mistakenly accounted for the investment in Elliott using the cost method rather than the equity method of accounting. What effect would this have on the investment account and net income, respectively?
a. Understate, overstate
b. Overstate, understate
c. Overstate, overstate
d. Understate, understate
D
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Reverse logistics refers to the moving of products and materials from suppliers to the factory
Indicate whether the statement is true or false
As production decreases, fixed costs per unit ____
A) increase B) decrease C) remain the same D) cannot be predicted
Sanchez Company's output for the current period was assigned a $200,000 standard direct materials cost. The direct materials variances included a $5,000 favorable price variance and a $3,000 unfavorable quantity variance. What is the actual total direct materials cost for the current period?
A. $205,000. B. $208,000. C. $198,000. D. $192,000. E. $202,000.
An example of an umbrella brand is:
a. M&Ms b. Dasani Water c. Taco Bell d. Ford