Point CoPurchased 90% of Sharpe Corp

question 23

Multiple Choice

Point Co.purchased 90% of Sharpe Corp.'s voting stock on January 1,20X2 for $5,580,000.Prior to the acquisition,Point held a 10% equity position in Sharpe Company.On January 1,20X2 Point's 10% investment in Sharpe has a book value of $340,000 and a fair value of $620,000.On January 1,20X2 Point records the following:

• A)Debit Gain on revaluation of Sharpe's stock $280,000
• B)Credit Gain on revaluation of Sharpe's stock $280,000
• C)Credit Investment in Sharpe stock $5,860,000
• D)Debit Investment in Sharpe stock $6,200,000

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Definitions:

Right-Wing Authoritarianism

A personality and ideological framework characterized by submission to authority, aggression toward outgroups, and adherence to conventional norms.

Conventionalism

The adherence to conventional norms and practices, often prioritizing traditional methods over innovation.

Altemeyer

Refers to Bob Altemeyer, a psychologist known for his work on authoritarian personalities.

Patient Satisfaction

A measure of the extent to which a patient is content with the health care they have received from their health care provider.