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Charlie Co

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Charlie Co.owns 30% of the voting common stock of Turf Services Inc.Charlie uses the equity method to account for its investment.On January 1, 2018, the balance in the investment account was $624,000.During 2018, Turf Services reported net income of $120,000 and paid dividends of $30,000.Any excess of fair value over book value is attributable to goodwill with an indefinite life.
What is the balance in the investment account as of December 31, 2018?


Definitions:

Interorganizational

Interorganizational pertains to the relationships or interactions between different organizations, often involving collaboration, partnerships, or competition across organizational boundaries.

Intraorganizational

Pertaining to activities, processes, or interactions that occur within a single organization.

Extraorganizational

Activities, processes, or relationships that exist or occur outside of an organization's own boundaries.

HR

Stands for Human Resources, a department within organizations focused on managing employee-related processes like hiring, training, and benefits administration.

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