On January 1, 2010, Franel Co

question 19

Multiple Choice

On January 1, 2010, Franel Co. acquired all of the common stock of Hurlem Corp. For 2010, Hurlem earned net income of $360,000 and paid dividends of $190,000. Amortization of the patent allocation that was included in the acquisition was $6,000. How much difference would there have been in Franel's income with regard to the effect of the investment, between using the equity method or using the partial equity method of internal recordkeeping?

• A) $170,000.
• B) $354,000.
• C) $164,000.
• D) $6,000.
• E) $174,000.

---

Definitions:

Open Masturbation

Masturbating in a non-private setting, often viewed as inappropriate or exhibitionistic behavior.

Sexual Preoccupation

An excessive or all-consuming focus on sexual thoughts, fantasies, activities, or concerns, which may interfere with daily functioning.

Genitals

The reproductive and sexual organs of males and females. Also known as genitalia.

Vaginal Penetration

The insertion of an object, such as a penis, finger, or medical device, into the vagina for sexual activity, examination, or treatment.