On January 4, 2002, Wynn, Inc., bought 15% of Parr Corporation’s common stock for $60,000. Wynn app

On January 4, 2002, Wynn, Inc., bought 15% of Parr Corporation’s common stock for $60,000. Wynn appropriately accounts for this investment by the cost method. The following data concerning Parr are available for the years ended December 31, 2002 and 2003: 2002 2003 Net income $30,000 $90,000 Dividend paid None 80,000 In its income statement for the year ended December 31, 2003, how much should Wynn report as income from this investment? a. $4,500 b. $9,000 c. $12,000 d. $13,500

"Is this question part of your assignment? We can help"

ORDER NOW

0 replies

Leave a Reply

Want to join the discussion?
Feel free to contribute!

Leave a Reply

Your email address will not be published. Required fields are marked *