Multiple Choice
The Salmon Corporation (Salmon) reported net income for the current year of $200,000 and paid cash dividends of $30,000.The Pond Company (Pond) holds 22 percent of the outstanding voting stock of Salmon.However,another corporation holds the other 78 percent ownership and does not take Pond's input into consideration when making financing and operating decisions for Salmon.What investment income should Pond recognize for the current year?
A) $6,600
B) $0
C) $44,000
D) $50,600
Correct Answer:
Verified
Correct Answer:
Verified
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