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Business, 11.02.2020 21:59 rm64789

Johnstone Company owns 10,000 shares of Breva Corporation’s stock; Breva currently has 40,000 shares outstanding. During the year,
Breva had net income of $200,000 and paid $160,000 in dividends. At the beginning of the year, there was a balance of $150,000 in Johnstone’s equity method investment in Breva Corporation account. At the end of the year, the balance in this account should be ?

A. $110,000

B. $150,000

C. $160,000

D. $240,000

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Johnstone Company owns 10,000 shares of Breva Corporation’s stock; Breva currently has 40,000 shares...
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