Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. accounting
  3. acme incorporated purchased 25,000 shares represen

ACME Incorporated purchased 25,000 shares representing a 25% interest in Zym Mining on January 2,2023...

70.2K

Verified Solution

Question

Accounting

image
ACME Incorporated purchased 25,000 shares representing a 25% interest in Zym Mining on January 2,2023 , for $150,000. At that time, the carrying amount of Zym's net assets was $138,600. The excess of the cost of the investment over ACME's share of Zym's carrying amount is due to unrecorded intangibles with an unlimited life. Zym declared and paid a dividend of $1 per share and reported net income of $80,000 for its year ended December 31,2023 . ACME is a public company that applies IFRS. Prepare all journal entries related to ACME's investment in its associate for 2020 under IFRS. Round final answers to the nearest dollar, ignore tax impacts, and show calculations below each journal entry. Required: (a) Prepare all journal entries related to ACME's investment in its associate for 2020 under IFRS. Round final answers to the nearest dollar, ignore tax impacts, and show calculations below each journal entry. (6 marks) (b) What options would be available to account for this investment if ACME was a private company that applied ASPE

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Zin AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students

Q

On March 1, you borrow $239,000 to buy a house. The mortgage rate is 7.75%. The...

Finance
Q

Evaluate Robert Reichs argument that the common good has been eroded and yet could be restored....

Psychology
Q

Write a code block to perform nested-for-loop sorting on a vector of State objects, arranging by their...

Electrical Engineering
Q

Several reports show the drawbacks and ineffectiveness operation of fuses and circuit breakers in the power...

Electrical Engineering
Q

2. (Solving linear systems) Consider the linear system Ax = b with A =[14 9 14 6...

Advance Math
Q

The values of Alabama building contracts (in millions of dollars) for a 12-month period follow. 250  340  230  250  280  310  210  320  250  300  240  230 Choose the...

Advance Math
Q

SELECT COUNTRY CASE CITY WHEN TORONTO THEN ON WHEN OTTAWA THEN ON WHEN WATERLOO THEN...

Basic Math
Q

1pts 2 a What conversion factor s can you use to convert g to ug...

Basic Math
Q

The number of people afflicted with the common cold in teh winter months steadily decreased...

Basic Math
Q

Fundash and Coolsprint The designer of the courses suspects that the mean completion time of...

Statistics
Q

Use the following comparative income statement form to enter amounts you identify from the computations...

Accounting
Q

Need the decrease in cash, cash balance january and december and net cash flows used...

Accounting