Essay
Energy Direct Corp.acquired 32% of Edmonton Limited for $2,000,000 on January 1,2017.During 2017,Edmonton Limited earned $480,000 and paid dividends of $225,000.
a.Prepare the journal entries required to record the acquisition,and the transactions during 2017.
b.Determine the carrying value on Energy Direct Corp.of the investment in Edmonton Limited as at December 31,2017.
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Correct Answer:
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