On January 1, 2018, Riney Co. owned 80% of the common stock of Garvin Co. On that date, Garvin's stockholders' equity accounts had the following balances: Common stock ($5 par value)$250,000 Additional paid-in capital 110,000 Retained earnings 330,000 Total stockholders' equity$690,000 ??The balance in Riney's Investment in Garvin Co. account was $552,000, and the noncontrolling interest was $138,000. On January 1, 2018, Garvin Co. sold 10,000 shares of previously unissued common stock for $15 per share. Riney did not acquire any of these shares.?What is the balance in Riney's "Investment in Garvin Co. Account" following the sale of the 10,000 shares of common stock?
A. $552,000.
B. $672,000.
C. $560,000.
D. $404,000.
E. $460,000.
Answer: C
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