Denber Co Acquired 60% of the Common Stock of Kailey Corp

question 112

Multiple Choice

Denber Co. acquired 60% of the common stock of Kailey Corp. on September 1, 2010. For 2010, Kailey reported revenues of $810,000 and expenses of $630,000, all reflected evenly throughout the year. The annual amount of amortization related to this acquisition was $15,000.
-What is the amount of the noncontrolling interest's share of Denber's income for 2010?

• A) $22,000.
• B) $24,000.
• C) $48,000.
• D) $66,000.
• E) $72,000.

Recognize the impact of heuristics, such as the availability heuristic, on judgment and decision-making processes.

Identify errors in reasoning and judgment, such as overlooking base-rate information or the influence of representativeness heuristic.

Define critical thinking and its importance in evaluating evidence and making conclusions.

Describe the concept of the sunk cost effect and its influence on decision-making behavior.

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Definitions:

Semicircular Canals

Three fluid-filled tubes in the inner ear that help maintain balance by sensing rotational movements.

Misjudge Sizes

The incorrect estimation or perception of the actual size of an object, which can be due to cognitive biases or visual illusions.

Feature Detectors

Neurons in the brain that identify specific features of a stimulus, such as shape, angle, or movement.

Vertical Lines

Lines that run up and down and are perpendicular to the horizon.