The Following Information Pertains to Questions

question 38

Multiple Choice

The following information pertains to questions
Find Corp.is a joint venture in which Seek Inc.has a 20% interest.Seek uses the equity method to account for its investment but has yet to make any journal entries for 2010.The financial statements of both companies are shown below on December 31,2010. During 2010,Seek sold merchandise totaling $120,000 to Find and recorded a gross profit of 50% on these sales.At the end of 2010,Find's inventory contained $30,000 worth of merchandise purchased from Seek.Find also owed $50,000 to find at the end of 2010.
Seek shall use the proportionate consolidation method (current Canadian GAAP) to report its investment in Find Corp.for 2010.Both companies are subject to 40% tax rate.
-What is the total amount of miscellaneous assets that would appear on Seek's Consolidated Balance Sheet as at December 31,2010?

• A)$640,000
• B)$660,000
• C)$900,000
• D)$840,000

---

Definitions:

Suicide

The act of intentionally causing one's own death, often as a result of mental illness such as depression or schizophrenia.

Nutraceutical

A food product or food ingredient that purports to provide health and medical benefits, including the prevention and treatment of disease.

Mild Depression

A less severe form of depression where individuals may experience persistent sadness, hopelessness, and lack of interest or pleasure in daily activities, but are still able to function.

L-tryptophan

An essential amino acid used by the body to help make proteins and certain brain-signaling chemicals, including serotonin.