Franklin Corporation invested $100,000 to acquire 20,000 shares of Hope Technologies, Inc. on March 1, 2018. Hope pays a cash dividend of $0.25 per share on July 2, 2019. The investment is classified as equity securities with no significant influence. Based on these two transactions, which of the following is TRUE of the accounting equation as of July 2, 2019?
A) Total assets in the balance sheet will remain unchanged.
B) Current assets in the balance sheet will remain unchanged.
C) Equity in the balance sheet will increase.
D) Total liabilities in the balance sheet will increase.
C) Equity in the balance sheet will increase.
You might also like to view...
Which of the following accounts will not be considered when computing cash flow from operations?
a. Accounts receivable b. Inventories c. Equipment d. Accounts payable e. Taxes payable
Skipper Company manufactures toy boats and uses an activity-based costing system. The following information is provided for the month of May:
Each boat consists of four parts, and the direct materials cost per boat is $7.28. There is no direct labor. What is the total manufacturing cost per boat? (Round any intermediate calculations and your final answer to the nearest cent.)
A) $11.26
B) $18.54
C) $2.98
D) $14.16
I am tired of doing the same old boring job. I need my leader to ______.
A. challenge me B. involve me C. support me D. direct me
Warranties are the buyer's or lessee's assurance that the goods meet certain standards
Indicate whether the statement is true or false