Use the Following Information to Answer the Question(s) Below -If SOS Sold the Additional Shares to the General Public,Great's

question 12

Multiple Choice

Use the following information to answer the question(s) below.

Great Corporation acquired a 90% interest in SOS Corporation at its $810,000 book value on December 31, 2013. A summary of the stockholders' equity for SOS at the end of 2013 and 2014 is as follows:

$$\begin{array} { l l l } & \underline { 12 / 31 / 13 } & \underline { 12 / 31 / 14 } \\\text { Capital stock, } \$ 10 \text { par } & \$ 600,000 & \$ 500,000 \\\text { Additional paid-in capital }& 30,000 & 30,000 \\\text { Retained Earnings } & \underline { 270,000 } & \underline { 420,000 } \\\text { Total stockholders' equity }&\underline { \$900,000}&\underline { \$1,050.000}\end{array}$$
-If SOS sold the additional shares to the general public,Great's Investment in SOS account after the sale would be ________.(Use four decimal places.)

• A)$945,000
• B)$1,157,100
• C)$1,225,000
• D)$1,245,000

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Definitions:

Totals

The sum amounts resulting from the addition of numbers, quantities, or items.

Ratios

A quantitative relationship between two numbers showing how many times one value contains or is contained within the other, often expressed as "a to b" or a:b.

Polling Booth

A private area in a polling station where voters go to mark their ballots during an election, ensuring the confidentiality of their vote.

Ratio

A mathematical expression that compares two numbers or quantities, showing the relative size or amount of one to the other.