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simpson co. received dividends from its common stock investments during the year ended december 31 as follows: a cash dividend of $8,000 from wren corp., in which simpson owns a 2% interest. a cash dividend of $45,000 from brill corp., in which simpson owns a 30% interest. this investment is appropriately accounted for using the equity method. a stock dividend of 500 shares from paul corp. was received on december 15 when the quoted market value of paul's shares was $10 per share. simpson owns less than 1% of paul's common stock. in simpson's income statement, dividend revenue should be:

User YAnTar
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Answer: His dividend revenue should be 5%.

User Surya Chandra
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