Foucault Company owns 40,000 of the 100,000 outstanding shares of Mango Inc. common stock. During 2018, Mango earns $640,000 and pays cash dividends of $480,000. If the beginning balance in Foucault's investment account was $430,000, the balance at December 31, 2018 should be:

(a) $366,000
(b) $430,000
(c) $494,000
(d) $686,000

Ans: (c) $494,000

Business

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