Ace co owns 30 of the voting common stock of becker


Question - Ace Co. owns 30% of the voting common stock of Becker Services Inc. Ace uses the equity method to account for its investment. On January 1, year 1, the balance in the investment account was $624,000. During year 1, Becker Services reported net income of $120,000 and paid dividends of $30,000. What is the balance in the investment account as of December 31, year 1? Be sure to show all work to receive full credit.

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Accounting Basics: Ace co owns 30 of the voting common stock of becker
Reference No:- TGS02840575

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