Response to the following questions:
1. Under what circumstances does a company prepare consolidated financial statements?
2. What are two major challenges in accounting for international operations?
3. On April 18, Dice Co. made a short-term investment in 500 common shares of XLT Co. The purchase price is $45 per share and the broker's fee is $150. The intent is to actively manage these shares for profit. On May 30, Dice Co. receives $1 per share from XLT in dividends. Prepare the April 18 and May 30 journal entries to record these transactions.