Part A
On January 2, 2017, Mayan corporation purchased 10,000
shares of the stock of Xyz Corp., and did not obtain significant
influence. The investment is intended as a long-term
investment. The stock was purchased for $5 per share, and
represents a 10% ownership stake. Xyz Corp made $20,000 of net
income in 2017, and paid dividends of $5,000 on December 15, 2017.
On December 31, 2017, Xyz Corp's stock was trading on the open
market for $8 per share at...