Use the financial statement effects template (with amounts and accounts) to record the following transactions...
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Accounting
Use the financial statement effects template (with amounts and accounts) to record the following transactions involving investments in marketable securities accounted for using the equity method:
a. Healy Co. purchases 7,500 common shares of Palepu Co. at $8 per share; the shares represent 25% ownership of Palepu.
b. Healy receives a cash divident of $0.80 per common share from Palepu
c. Palepu reports annual net income of $60,0000.
d. Healy sells all 7,500 common shares of Palepu for $70,000.
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