What was the balance in the investment account


On January 3, 2008, Roberts Company purchased 30% of the 100,000 shares of common stock of Thomas Corporation, paying $1,500,000. There was no goodwill or other cost allocation associated with the investment. Roberts has significant influence over Thomas. During 2008, Thomas reported income of $300,000 and paid dividends of $100,000. On January 4, 2009, Roberts sold 15,000 shares for $800,000.

What was the balance in the investment account before the shares were sold?

 

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Accounting Basics: What was the balance in the investment account
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