On January 1, 2021, Anna Inc. owned 75% of the common stock of Jill Co....
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Accounting
On January 1, 2021, Anna Inc. owned 75% of the common stock of Jill Co. On that date, Jill's stockholders' equity accounts had the following balances:
Common stock ($6 par value) $300,000
Additional paid-in capital 120,000
Retained earnings 340,000
Total stockholders equity $760,000
The balance in Annas Investment in Jill Co. account was $570,000, and the noncontrolling interest was $190,000. On January 1, 2021, Jill Co. sold 10,000 shares of previously unissued common stock for $12 per share. Anna did not acquire any of these shares. What is the balance in Anna Incs Investment in Jill Co. account following the sale of the 10,000 shares of common stock?
$403,000.
$550,000.
$570,000.
$660,000.
$880,000.
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