An investor owns 25% of the outstanding common stock of an investee company. The Equity Investment was reported at $500,000 as of the end of the previous year. During the year, the investee pays dividends of $50,000 to the investor. The investee reports the following income statement for the year:Revenues$2,000,000Expenses1,57 0,000Net income$430,000Requireda. How much equity income should the investor report in its income statement?b. What amount should the investor report for the Equity Investment in its balance sheet at the end of the year?c. Assume that the fair value of the investee company is $1.7 million at the end of the year (approximately five times reported earnings). How should the fair value of the investee company be reflected in the investor’s financial statements?i. be adjusted to fair value. ii. remain at adjusted cost. iii. remain at the adjusted cost plus a gain should be reported in AOCI.

While studying for the engineering economy final exam, you and two friends find yourselves craving a fresh pizza. you can't spare the time to pick up the pizza and must have it delivered. "pick-up-sticks" offers a 1-1/4-inch-thick (including toppings), 20-inch square pizza with your choice of two toppings for $15 plus 5% sales tax and a $1.50 delivery charge (no sales tax on delivery charge). "fred's" offers the round, deep-dish sasquatch, which is 20 inches in diameter. it is 1-3/4 inches thick, includes two toppings, and costs $17.25 plus 5% sales tax and free delivery. 1. what is the problem in this situation? state it in an explicit and precise manner. 2. systematically apply the seven principles of engineering economy (pp. 3-6) to the problem you have defined in part (a). 3. assuming that your common unit of measure is dollars (i.e., cost), what is the better value for getting a pizza based on the criterion of minimizing cost per unit of volume? 4. what other criteria might be used to select which pizza to purchase?

Comprehensive illustrative problem: mira's store on february 1 20a4 mica delaman opened astore that sells school supplies her main customer are the students and teachers of happy students school that is situated in front of her store. mira wanted to know the financial position of mira's store. mira knew you were studying accounting. so she asked for . 1. to start her business mira's opened a checking account in the name of mira's store . the statement of account from the bank shows that the checking account has a balance of 31,535 of december 31,20a4

Chuck, a single taxpayer, earns $80,750 in taxable income and $30,750 in interest from an investment in city of heflin bonds. (use the u.s. tax rate schedule.) (do not round intermediate calculations. round your answers to 2 decimal places.)