Exhibit 13-2 On January 1, 2017, the Clutz Company purchased 30% of the 1,000,000 shares of Nancy's common stock for $15,000,000 when 30% of Nancy's net assets totaled $12,000,000. The excess of purchase price over the underlying assets was attributable to undervalued depreciable plant assets with a remaining useful life of ten years. Nancy reported net income of $8,000,000 and paid cash

dividends of $2,000,000 during 2017. ? Refer to Exhibit 13-2. The investment in Nancy Company stock should be reported on Clutz's December 31, 2017, balance sheet at
A) $15,000,000.
B) $15,600,000.
C) $16,500,000.
D) $17,400,000.

C