On July 1, 2016, as a Long-Term Investment in Available-For-Sale

question 74

Multiple Choice

On July 1, 2016, as a long-term investment in available-for-sale securities, Wildlife Supply Company purchased 6,000 of the 18,000 outstanding shares of the nonvoting preferred stock of Nature Company for $30 per share. The records of Nature Company reflect the following: The amount reported on the balance sheet by Wildlife Company for its investment at December 31, 2016 would be which of the following?

• A)$179,800.
• B)$162,000.
• C)$182,000.
• D)$197,800.

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Definitions:

Political Considerations

Political considerations involve the influence of government policy, political climate, or legislative actions on decision-making processes.

Unconditional Cash Transfers

Direct payments given to individuals or households without any requirements for the receipt of the money, used to reduce poverty or inequality.

Cultural Obstacles

Barriers that stem from cultural differences and prevent or hinder progress in understanding, social integration, and economic development.

Long-Term Earnings

The accrued amount of income that an entity is expected to generate over an extended period, often considered in terms of years or over the entity's lifespan.