Coop incorporated owns 10 percent of chicken stock appreciated by 15,000 during the year. Both coop and chicken are corporations. Chicken pays coop a dividend of 10,000 in the current year. Chicken also reports financial accounting earnings of 20,000 for that year assume coop follows the general rule of accounting for investment in chicken stock (ignoring the dividends received deduction)?

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16-07-2024
Business

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Coop incorporated owns 10 percent of chicken stock appreciated by 15,000 during the year. Both coop and chicken are corporations. Chicken pays coop a dividend of 10,000 in the current year. Chicken also reports financial accounting earnings of 20,000 for that year assume coop follows the general rule of accounting for investment in chicken stock (ignoring the dividends received deduction)?

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