Use the Following Information for Questions 97 and 98

question 81

Multiple Choice

Use the following information for questions 97 and 98.
Harrison Company owns 20,000 of the 50,000 outstanding shares of Taylor, Inc. common stock. During 2015, Taylor earns $1,000,000 and pays cash dividends of $800,000.
-If the beginning balance in the investment account was $625,000, the balance at December 31, 2015 should be

• A) $1,025,000.
• B) $825,000.
• C) $705,000.
• D) $625,000.

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Definitions:

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