Bauerly Co

question 2

Multiple Choice

Bauerly Co. owned 70% of the voting common stock of Devin Co. During 2010, Devin made frequent sales of inventory to Bauerly. There were unrealized gains of $40,000 in the beginning inventory, and $25,000 at the end of the year. Devin reported net income of $137,000 for 2010. Bauerly decided to use the equity method to account for the investment. What is the noncontrolling interest's share of Devin's net income for 2010?

• A) $41,100.
• B) $33,600.
• C) $21,600.
• D) $45,600.
• E) $36,600.

---

Definitions:

REM Sleep

Rapid Eye Movement sleep, a unique phase of sleep characterized by vivid dreams, increased brain activity, and temporary muscle paralysis.

Active Sleep

A phase of sleep, often associated with REM (Rapid Eye Movement) sleep, characterized by vivid dreams and higher brain activity.

Adults

Individuals who have reached a stage of physiological and psychological maturity, typically marked by the completion of physical growth.

Restorative Theory

A theory suggesting that sleep serves to repair and rejuvenate the body and mind, restoring physical and mental health.