Reporting of stock ownership

Related BrainMass Solutions

• Multiple Choice - Various 1-5

  The solution answers quesions about Twill company, Jack company, Equity-method reporting , Ownership of 51 percent of the outstanding voting stock and when the consolidated financial statements are typically prepared.

• Davis, Incorporated: Variable Interest Entities and Stock Transactions

  First, Davis, Incorporated is a majority owner of Maxwell at 80% ownership, hence Davis uses consolidated financial statements method in reporting its investments in Maxwell.

• differences between cost, equity, and consolidated methods

  Normally, any investment in another company that results in 50% or more of ownership will be consolidated for purposes of financial reporting.

• Choice of Accounting Method - Slanted Building Supplies

  According to the FASB Interpretation No. 35 of Opinion No. 18, the Equity method of reporting should be applied for investments of 50 percent or less of voting stock of an investee enterprise, The Equity Method of Accounting for Investments in Common

• Influencing Operating and Financial Policies of a Company

  If two different companies each hold 25% ownership of a third company, and the value of the shares of one of the companies that has 25% ownership drops, then that company's 25% ownership may only actually equate to a 15% ownership value etc., which would

• List and describe three accounting and finance features for limited companies?

  Accounting and finance regulations in India The company has to periodically file its accounts with the Indian regulators such as registrar of companies, respective stock exchange where it's listed, Stock exchange Board of India.

• Earnings per share; reporting method for 20-50% ownership

  The solution explains two questions relating to calculation of earnings per share and reporting method for 20-50% ownership

• Business Ownership: Corporation, Partnership, Sole Proprietr

  A corporation method of ownership might encourage more employees to work for the electronics store and stay employed, since they could enjoy possible ownership through stock options.

• Slanted Building Supplies purchased 32 percent of the voting

  Why might the use of the equity method become more appropriate as the percentage of ownership increases? Q2: Peel Company received a cash dividend from a common stock investment.

• Revenue from Investment for Kennett Corporation

  Swenson Corporation had 100,000 shares of common stock outstanding during 2008, paid cash dividends of $60,000 during 2008, and reported net income of $200,000 for 2008.