Obtain Disneys 2016 Annual Report online. Review the financial statements and the notes to the...
50.1K
Verified Solution
Link Copied!
Question
Accounting
Obtain Disneys 2016 Annual Report online. Review the financial statements and the notes to the financial statements.
1.List the types of investments held by Disney (Available-for-sale, equity-method investees, subsidiaries).
2. Assume Disney has only one investee in which it holds 40% ownership. Based on the basic financial statements, how much was the investees net income (loss) for 2016?
3. Assume Disney has a 25% owned investee and it intends to hold the investment indefinitely. Also assume that the investee distributed a total of $18M in dividends. What is the effect on Disneys balance sheet equation (indicate direction(increase, decrease, no effect) and $ amount)?
Assets Liabilities Stockholders Equity
4. Prepare the journal entry to record Disneyss share of earnings for fiscal year 2016 of its investees over which it has significant influence.
5.Disney entered into interest rate swaps and designated them as hedges.
What type of swaps are they (variable-to-fixed, fixed-to-variable)?
Disney designated these swaps as what kind of hedge?
Are the hedges 100% effective? How do you know?
6. What percentage of 2016 total assets represent net positions in hedged derivatives?
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: Flex AI - Your personal assistant for all your inquiries!
