(Solved):Q: on January 1, 20…

Question:

Question

on January 1, 20×1 entitiy A acquires 30% interest in Entity B for 600,000. Entity B reports profit of 200,000 and declares dividends of 50,000 in 20×1. How much is the carrying amount of the investment in associate on Dec31, 20×1

Expert Answer:

Step 1

Carrying Amount= Cost of Acquisition+Share of Profit in Associate- Dividend Paid

 

Step 2

Scroll to top