Multiple Choice
Under the equity method of accounting for investments in common shares, when a dividend is received from the investee,
A) the Dividend Revenue account is credited.
B) the investment account is increased.
C) the investment account is decreased.
D) no entry is necessary.
Correct Answer:
Verified
Correct Answer:
Verified
Related Questions
Q10: If one company owns more than 50%
Q18: Consolidated financial statements are appropriate when an
Q19: The cost model is used when the
Q21: Mandrake Corp owns a 10% interest in
Q24: In June, Potter Corp paid $25,000 for
Q25: Dividends received on investments are accounted for
Q27: Which of the following statements is not
Q76: Equity securities are always classified as long-term
Q91: Greene Limited owns a 30% interest in
Q94: The cost model is used only for