Exercise 17-16
Culver Inc. acquired 20% of the outstanding common stock of
Theresa Kulikowski Inc. on December 31, 2017. The purchase price
was $1,245,600 for 51,900 shares. Kulikowski Inc. declared and paid
an $0.85 per share cash dividend on June 30 and on December 31,
2018. Kulikowski reported net income of $699,000 for 2018. The fair
value of Kulikowski’s stock was $27 per share at December 31, 2018.
Assume that the security is a trading security.
Partially correct answer. Your answer is partially correct.
Try again.
Prepare the journal entries for Culver Inc. for 2017 and 2018,
assuming that Culver cannot exercise significant influence over
Kulikowski. (Credit account titles are automatically indented when
amount is entered. Do not indent manually. If no entry is required,
select "No Entry" for the account titles and enter 0 for the
amounts.)
Date
Account Titles and Explanation
Debit
Credit
Entry field with correct answer
Entry field with correct answer
Entry field with correct answer
Entry field with correct answer
Entry field with correct answer
Entry field with correct answer
Entry field with correct answer
Entry field with correct answer
Entry field with correct answer
Entry field with incorrect answer
Entry field with correct answer
Entry field with correct answer
Entry field with correct answer
Entry field with incorrect answer
Entry field with correct answer
Entry field with correct answer
Entry field with incorrect answer
Entry field with correct answer
Entry field with correct answer
Entry field with correct answer
Entry field with incorrect answer
(To record dividend.)
Entry field with correct answer
Entry field with correct answer
Entry field with correct answer
Entry field with correct answer
Entry field with correct answer
Entry field with correct answer
(To record fair value.)
LINK TO TEXT
LINK TO TEXT
Partially correct answer. Your answer is partially correct.
Try again.
Prepare the journal entries for Culver Inc. for 2017 and 2018,
assuming that Culver can exercise significant influence over
Kulikowski. (Credit account titles are automatically indented when
amount is entered. Do not indent manually. If no entry is required,
select "No Entry" for the account titles and enter 0 for the
amounts.)
Date
Account Titles and Explanation
Debit
Credit
Entry field with correct answer
Entry field with correct answer
Entry field with correct answer
Entry field with correct answer
Entry field with correct answer
Entry field with correct answer
Entry field with correct answer
Entry field with correct answer
Entry field with correct answer
Entry field with incorrect answer
Entry field with correct answer
Entry field with correct answer
Entry field with correct answer
Entry field with incorrect answer
Entry field with correct answer
Entry field with correct answer
Entry field with incorrect answer
Entry field with correct answer
Entry field with correct answer
Entry field with correct answer
Entry field with incorrect answer
(To record dividend.)
Entry field with correct answer
Entry field with correct answer
Entry field with correct answer
Entry field with incorrect answer now contains modified
data
Entry field with correct answer
Entry field with correct answer
(To record revenue.)