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Pigeau Ltd. purchased 42,000 common shares of Lindsay Corporation for $1,000,000. During the year, Lindsay Corporation reported profit of $500,000 and paid dividends of $125,000. On December 31, Pigeau's year end; Lindsay Corporation's common shares had a market value of $25 per share. 2. Instructions Assuming that the 42,000 shares represent a 15% interest a) in Lindsay Corporation and are classified by management as FVTPL investments: Prepare the journal entry to record the investment in 1. Lindsay shares. Prepare any entries that Pigeau should make in accounting for its investment in Lindsay shares during the year. At what amount is this investment reported on Pigeau's 3. December 31 balance sheet? Repeat requirement a) above except assume that the b) 42,000 shares represent a 25% interest in Lindsay Corporation which provides Pigeau with significant influence over Lindsay and are accounted for as a long-term equity investment. Pigeau Ltd. purchased 42,000 common shares of Lindsay Corporation for $1,000,000. During the year, Lindsay Corporation reported profit of $500,000 and paid dividends of $125,000. On December 31, Pigeau's year end; Lindsay Corporation's common shares had a market value of $25 per share. a Instructions Assuming that the 42,000 shares represent a 15% interest a) in Lindsay Corporation and are classified by management as FVTPL investments: Prepare the journal entry to record the investment in 1. Lindsay shares. Prepare any entries that Pigeau should make in accounting 2. for its investment in Lindsay shares during the year. At what amount is this investment reported on Pigeau's 3. December 31 balance sheet? Repeat requirement a) above except assume that the b) 42,000 shares represent a 25% interest in Lindsay Corporation which provides Pigeau with significant influence over Lindsay and are accounted for as a long-term equity investment

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