Beige Corporation Pays $500,000 to Acquire 40% of the Equity

question 47

Multiple Choice

Beige Corporation pays $500,000 to acquire 40% of the equity securities of Olive Technologies on May 5, 2015. This investment will be classified as a(n) :

• A)trading investment.
• B)available for sale.
• C)significant interest investment.
• D)held-to-maturity.

---

Definitions:

Meanwhile

Concurrently; at the same time or during the same period that something else is happening.

Capitalization

The practice of using uppercase letters at the beginning of sentences or proper nouns to denote importance or signify starting points.

Occurrence

An event or instance that happens or takes place.

Flu

A contagious respiratory illness caused by influenza viruses, characterized by symptoms like fever, cough, and body aches.