Photo Finish Corporation Bought a 40% Interest in the Voting

question 79

Multiple Choice

Photo Finish Corporation bought a 40% interest in the voting stock of Click It Corporation's $1 par value common stock for $20 million (2 million shares at a $10 market price) on March 31,2011.On December 31,2011,Click It paid a $1 million cash dividend declared earlier in 2011 and reported net income for the year ended 2011 of $10 million.On December 31,2011,Click It's stock was trading at $11.50 per share.At what amount will the Click It investment be reported on Photo Finish's December 31,2011 balance sheet?

• A)$20,000,000
• B)$23,000,000
• C)$23,600,000
• D)$24,000,000

Recognize the role of investments, government spending, and net exports in the economy.

Understand how economic growth and inflation affect real GDP per capita.

Distinguish between GDP and Net Domestic Product (NDP) and their respective significance.

Analyze the impact of population changes on GDP and real GDP per capita.

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Definitions:

In-Person Surveys

A method of data collection where questionnaires are administered face-to-face with participants.

Postal Sampling Frames

Lists or databases used in research that are derived from postal addresses to create samples for surveys.

Slow Turnaround

The delay or extensive time taken to complete a process, transaction, or response, often seen as a negative aspect of service or production.

Stratified Random Sampling

A method of sampling that involves dividing a population into smaller groups, or strata, and randomly selecting samples from each stratum.