All statements made by an applicant in an application for life insurance are considered to be

As applied to mortgage loans, which of the following statements is FALSE?

A) Advertised rates are annual percentage rates. B) A spreadsheet uses the periodic interest rate, not the annual percentage rate. C) By increasing the number of payments per year you increase your effective borrowing rate. D) You can find a monthly payment by dividing the annual payment by 12.

On January 1, 2014, Wrobel Company acquired a 90 percent interest in Sally Company for $270,000. On January 1, 2014, Sally's total stockholders' equity was $300,000

The fair value and book value of Sally's individual assets and liabilities were equal. n January 2, 2014, Sally Company acquired a 10 percent interest in Wrobel Company for $70,000. On January 2, 2014, Wrobel's total stockholders' equity was $700,000. The fair value and book value of Wrobel's individual assets and liabilities were equal. For the year ending December 31, 2014, the following data is available: Net income Dividends Wrobel Company $50,000 $0 Sally Company $30,000 $0 The treasury stock method is used to account for the mutual stock holdings between Wrobel and Sally. The separate net incomes do not include investment income. Required: 1. What is Sally's income from Wrobel for 2014? 2. What is Wrobel's income from Sally for 2014? 3. What is the noncontrolling interest share associated with Sally Company for 2014? 4. Prepare the elimination entry for Sally's Investment in Wrobel Company.