Problem:
Heidebrecht Design acquired 30% of the outstanding common stock of Quayle Company on January 1, 2014, by paying $729,000 for the 40,500 shares. Quayle declared and paid $0.50 per share cash dividends on March 15, June 15, September 15, and December 15, 2014. Quayle reported net income of $356,300 for the year. At December 31, 2014, the market price of Quayle common stock was $25 per share.
Problem:
Question 1: Indicate the balance sheet and income statement account balances at December 31, 2014, under each method of accounting
- Stock investment
- Unrealized gain-income
- Dividend revenue
- Revenue from stock investments
Note: Please show the work not just the answer.