Kelly Financial Services, Inc invested $27,000 to acquire 3,750 shares of Mitt Investments, Inc on March 15, 2013
This investment represents less than 20% of the investee's voting stock. On May 7, 2017, Kelly Financial Services, Inc sells 2,250 shares for $15,250. In the accounting equation on May 7, 2017, ________.
A) total assets will remain unchanged
B) total assets will decrease
C) total liabilities will decrease
D) total equity will decrease
D .Cost of 2,250 shares sold $16,200
(2,250 x 7.20*)
Value of 2,250shares sold 15,250
Loss (decrease in equity) $950
* Cost per share =$27,000 / 3,750 = $7.20
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