Use the Following Information for Questions

question 7

Multiple Choice

Use the following information for questions
Huang Company owns 20,000 of the 50,000 outstanding ordinary shares of Xi Inc.The balance in the investment account at January 1, 2012 was ¥500,000,000.During 2012, Xi earned ¥800,000,000 and paid cash dividends of ¥640,000,000.
-The balance in the Investment in Xi account reported on Huang's December 31, 2012 statement of financial position should be

• A)¥820,000,000.
• B)¥660,000,000.
• C)¥564,000,000.
• D)¥500,000,000.

---

Definitions:

Demand Equals Supply

A market equilibrium condition where the quantity of a good or service demanded by consumers equals the quantity supplied by producers.

Numeraire

A unit of account or standard measure in economics used to compare the value of goods or services.

Pareto Optimal

Another term for Pareto Efficient; describes a situation where no one's condition can be improved without worsening someone else's condition.

Initial Endowment

The initial quantity of goods, services, and assets that an individual, organization, or economy possesses.