Thomas Inc

question 67

Essay

Thomas Inc. had the following stockholders' equity accounts as of January 1, 2021: Kuried Co. acquired all of the voting common stock of Thomas on January 1, 2021, for $20,656,000. The preferred stock remained in the hands of outside parties and had a fair value of $3,060,000. A database valued at $656,000 was recognized and amortized over five years. During 2021, Thomas reported earning $630,000 in net income and paid $504,000 in total cash dividends. Kuried used the equity method to account for this investment.What was Kuried's balance in the Investment in Thomas Inc. account as of December 31, 2021?

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Definitions:

Aggressively

Acting or done with force and energy, often indicative of a strong determination to succeed or achieve something.

Cognitive-Developmental Theory

is a theory that explains how human beings learn and develop cognitive abilities throughout the stages of life, focusing on the qualitative changes in thinking processes.

Psychosocial Theory

A developmental theory that posits that personality development occurs through the interaction between social experiences and underlying psychological processes across the lifespan.

Social Learning Theory

A theory asserting that people can learn new behaviors and attitudes through observation of others' actions and their outcomes.