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Testbank
Chapter 6 – Accounting for Investments in Associates and
Joint Ventures
True or False
1) Sales of assets from the entity to its associate or its joint venture is an example of a
downstream transaction.
Answer: True
Difficulty: Medium
Learning Objective: Adjust for the effects of intercompany transactions.
Section Reference: Effects of Intercompany Transactions
Feedback: Review section “Transactions Between the Company and Its Associate or
Between the company and its Joint Venture”
2) Adjustments to the entity’s share of the equity of the associate or joint venture are not
made to accounts such as retained earnings as would occur under the consolidation
method.
Answer: False
Difficulty: Medium
Between the Company and its Joint Venture”
3) The purpose of the acquisition analysis relating to goodwill and fair value adjustments
is to determine the real post-acquisition equity of the associate or joint venture.
Answer: True
Difficulty: Medium
Learning Objective: Adjust for goodwill and fair value differences at acquisition date.
Section Reference: Goodwill and Fair Value Differences at Acquisition Date
Feedback: Review section “Goodwill and Fair Value Differences at Acquisition Date”
4) All dividends paid or payable by an investee to an investor are to be recognized as

revenue by the investor when the investor is also a parent company and will be preparing
consolidated financial statements.
Answer: True
Difficulty: Medium
Learning Objective: Adjust for movements in equity from dividends and reserves, and the
effects of dissimilar accounting policies and different ends of reporting periods.
Section Reference: Movements in Equity
Feedback: Review section “Dividends”
5) Where dividends are paid/declared by an associate or joint venture and the entity
receiving the dividend prepares consolidated financial statements, the dividend revenue
recognized in the entity’s accounts is eliminated on consolidation.
Answer: True
Difficulty: Medium
Learning Objective: Apply the equity method on consolidated or separate financial
statements.
Section Reference: The Equity Method of Accounting on Consolidated and Separate
Financial Statements
Feedback: Review section “Separate Financial Statements versus Consolidated
Statements”
6) An investment in an associate is reported using the equity method from the date on
which it becomes an associate.
Answer: True
Difficulty: Medium
7) For a parent entity which will prepare consolidated financial statements, investments
in associates or joint ventures held by the parent or its subsidiaries are accounted for in
the consolidated financial statements by the cost method.
Answer: False
Difficulty: Medium
statements.
Statements”
8) Where the associate or joint venture incurs losses, the carrying amount of the
Investment in Associate or Joint Venture is first reduced to zero.
Answer: True
Difficulty: Medium
Learning Objective: Account for losses recorded by the associate or joint venture.
Section Reference: Losses Recorded by the Associate or Joint Venture
Feedback: Review section “Losses Recorded by the Associate or Joint Venture”
9) The equity method of accounting will be discontinued when the investor’s share of
losses equals or exceeds the investment’s carrying amount.
Answer: True
Difficulty: Medium
10) Unlike consolidation, there is no need to adjust for all transactions between the entity
and the associate or joint venture; only the transactions where profit is affected require
adjustment.
Answer: True
Difficulty: Medium
11) If an entity had previously held an investment in another entity and by a further
investment that investee became an associate or joint venture of the entity, at the date of
the second investment, the previously held investment is revalued to fair value with any
gain/loss being taken to profit or loss.
Answer: True
Difficulty: Medium
Learning Objective: Account for the investing in an associate or joint venture in stages.
Section Reference: Investing in an Associate or Joint Venture in Stages
Feedback: Review section “Becoming an Associate or Joint Venture after Acquiring an
Ownership Interest”
12) If, after reporting losses, a joint venture earns a profit, the entity does not recognize a
share of profits.
Answer: False
Difficulty: Medium
13) Adjustments to the entity’s share of the equity of the associate or joint venture are
made for the effects of both upstream and downstream transactions even though a
downstream transaction does not affect the equity of the associate or joint venture.
Answer: True
Difficulty: Medium
14) Adjustments for any goodwill arising on acquisition would occur on impairment of
goodwill.
Answer: True
Difficulty: Medium
15) In a business combination achieved in stages, the acquirer shall remeasure its
previously held equity interest in the acquiree at its acquisition-date fair values
and recognize the resulting gain or loss, if any, in other comprehensive income.
Answer: False
Difficulty: Medium
Multiple Choice
16) How do joint ventures differ from private corporations?
a) The joint venturers must share the risks and profits of the joint venture equally.
b) Venturers cannot make unilateral decisions.
c) There can only be two parties in a joint venture.
d) A joint venture does not have a board of directors.
Answer: b
Difficulty: Easy
statements.
Section Reference: Equity Method of Accounting and Consolidated and Separate
Statements”
17) When an inter-corporate investment is acquired in stages, when does the equity
method first becomes appropriate?
a) When control is attained.

b) When the initial investment is made.
c) When the intent to control is determined.
d) When significant influence is first achieved.
Answer: d
Difficulty: Medium
18) Which of the following statements regarding the effects of intercompany transactions
is FALSE?
a) The rationale for the IAS 28 requirements for adjusting for intercompany transactions
is not clear.
b) The entity is not entitled to a share of realized equity of an associate or joint venture.
c) Adjustments to the entity’s share of the equity of the associate or joint venture are
made for the effects of both upstream and downstream transactions even though a
downstream transaction does not affect the equity of the associate or joint venture.
d) Adjustments are not made to accounts such as sales and cost of sales as would occur
under the consolidation method.
Answer: b
Difficulty: Medium
19) Which of the following statements regarding losses recorded by the associate or joint
venture is FALSE?
a) The entity’s share of losses of an associate or joint venture is recognized but only to
the point where the carrying amount of the investment in the associate or joint venture is
zero.
b) The share of losses may be offset against other investments the entity has in the
associate or joint venture such as long-term receivables.
c) If, after reporting losses, an associate earns a profit, the entity recognizes a share of
profits only after the share of profits exceeds the share of past losses not recognized.
d) If, after reporting losses, a joint venture earns a profit, the entity does not recognize a
share of profits ever.
Answer: d
Difficulty: Medium
20) Which methods will result in the same income and shareholders' equity?
a) Cost and consolidation.

b) Cost and equity.
c) Equity and consolidation.
d) Each method may result in different income and shareholder's equity amounts.
Answer: d
Difficulty: Easy
statements.
Statements”
21) Which of the following statements regarding goodwill and fair value differences from
the day that an associate or joint venture is acquired, is FALSE?
a) Where differences between fair values and carrying amounts exist at the acquisition
date for the investee’s identifiable assets and liabilities, subsequent equity recognized by
the associate or joint venture may include fair value adjustments relating to these
differences.
b) Amortization of goodwill relating to an associate or a joint venture is permitted.
c) Calculation of adjustments for differences between carrying amounts and fair values is
always on an after-tax basis.
d) Adjustments for any goodwill arising on acquisition would occur on impairment of
goodwill.
Answer: b
Difficulty: Medium
22) Where an entity prepares consolidated financial statements, the equity method is
applied to associates or joint ventures of the _________________________ in the
consolidated financial statements, and not in the accounts of the ________ itself.
a) parent; parent
b) parent and its subsidiaries; subsidiary
c) parent; subsidiary
d) parent and its subsidiaries; parent.
Answer: d
Difficulty: Medium
statements.
Statements”
23) Dolan Ltd. has invested in several domestic manufacturing corporations. Which of
the following investments would most likely be accounted for under the equity method
on Dolan's financial statements?
a) A holding of 3,000 of the 10,000 outstanding preferred shares of Green Co.

b) A holding of 5,000 of the 60,000 outstanding common shares of Eco-saveCo.
c) A holding of 20,000 of the 25,000 outstanding common shares of Enviro-Clean Co.
d) A holding of 15,000 of the 50,000 outstanding common shares of Planetwise Co.
Answer: d
Difficulty: Medium
statements.
Statements”
24) In a business combination achieved in stages, the acquirer shall remeasure its
previously held equity interest in the acquiree at its acquisition-date fair values
__________________________________________.
a) and does not recognize the resulting gain or loss.

b) and recognize the resulting gain or loss, if any, in other comprehensive income.
c) and recognize the resulting gain or loss, if any, in profit or loss.
d) and recognize the resulting gain or loss, if any, in retained earnings.
Answer: c
Difficulty: Medium
25) If an associate or joint venture has outstanding cumulative preference shares that are
held by parties other than the entity and classified as ____________, the entity computes
its share of profits or losses after adjusting for the dividends on such shares, whether or
not the dividends have been declared.
a) debt or equity
b) debt
c) equity
d) earnings.
Answer: c
Difficulty: Medium
Learning Objective: Adjust for movements in equity from dividends and reserves, and
the effects of dissimilar accounting policies and different ends of reporting periods.
26) Kibble Ltd. contributed some specialized equipment to receive a 45% interest in a
joint venture, Lenard Inc. The equipment has a fair value of $640,000 and a carrying
value of $300,000. Kibble also received $ 100,000 in cash from Lenard Inc. The other
party to the joint venture, Farlinger Ltd, contributed cash of $660,000 for the 55%
interest. It is deemed that the transaction lacks commercial substance.
Based on the above, the gain to be recognized immediately by Kibble is:
a) $0
b) $53,125
c) $100,000
d) $340,000
Answer: b
Difficulty: Hard
27) Adjustments must be made for transactions between the associate or joint venture and
the entity that give rise to unrealized profits or losses. Realization of such profits or losses
occurs when:
a) The asset on which the profit or loss accrued is sold to an external party.
b) As the future benefits embodied in the asset are consumed.
c) The asset on which the profit or loss accrued is sold to an external party or as the
future benefits embodied in the asset are consumed.
d) The asset on which the profit or loss accrued is sold to an external or internal party.
Answer: c
Difficulty: Medium
28) An investment in an associate or joint venture is reported using the _____________

method from the date on which it becomes an associate or joint venture.
a) cost
b) equity
c) proportional consolidation
d) cost or equity.
Answer: b
Difficulty: Medium
statements
Feedback: Review section “Separate Financial Statements versus Consolidated Financial
Statements”
29) Sales or contributions of assets from an associate or joint venture to the investor is an
example of a(n) _________________ transaction.
a) downstream
b) equity
c) fair value
d) upstream.
Answer: d
Difficulty: Medium
30) How are most significant influence investments in equity securities actually recorded
on the investor’s books when the investor is also a parent company that will prepare
consolidated financial statements?
a) Using the equity method.

b) Using proportionate consolidation.
c) At cost.
d) On a fully consolidated basis.
Answer: c
Difficulty: Easy
Learning Objective 1: Apply the equity method on consolidated or separate financial
statements.
Section Reference 1: Equity Method of Accounting and Consolidated and Separate
Statements”
31) The adjustment to recognize an entity’s share of the asset revaluation reserve relating
to an associate based on the on application of the equity method involves a debit to
a) Asset revaluation reserve.

b) Investment in associate.
c) Retained earnings.
d) Common share capital.
Answer: b
Difficulty: Medium
Learning Objective 1: Adjust for movements in equity from dividends and reserves, and
Section Reference 1: Movements in Equity
Feedback: Review section “Reserves”
32) On January 1, 2013, Crawford Ltd. acquired 25% of the shares of Rufus Ltd. for
$69,375. At this date, the equity of Rufus Ltd. consisted of:
Share capital $150,000
Retained earnings 80,000
At the acquisition date, all the identifiable assets and liabilities of Rufus Ltd. were
recorded at fair value, except for plant for which the fair value was $20,000 greater than
its carrying amount, and inventory whose fair value was $5,000 greater than its cost. The
tax rate is 30%. The plant has a further 5-year life. The inventory was all sold by
December 31, 2013. In the reporting period ending December 31, 2013, Rufus Ltd.
reported a profit of $20,000.
The amount of goodwill arising from this transaction is:
a) $5,625
b) $7,500
c) $11,875
d) $160,625
Answer: b
Difficulty: Hard
Learning Objective 1: Adjust for goodwill and fair value differences at acquisition date.
Section Reference 1: Goodwill and Fair Value Differences at Acquisition Date
33) The effect of the sale of inventory on the share of profit or loss of the associate is:
a) $875 decrease
b) $4,250 increase
c) $350 increase
d) $1,250 decrease
Answer: a
Difficulty: Hard
34) On January 1, 2013, Conji Ltd. acquired 25% of the shares of Porter Ltd. for $42,500.
At this date, all the identifiable assets and liabilities of Porter Ltd. were recorded at
amounts equal to fair value, and the equity of Porter Ltd. consisted of:

Asset revaluation reserve 20,000
During 2013, Porter Ltd. reported a profit of $25,000. The asset revaluation reserve
increased by $5,000, this being reported in other comprehensive income. Porter Ltd. paid
a $4,000 dividend. At January 1 2013, Conji Ltd. recorded the investment in Porter Ltd.
at $42,500
The share of profit or loss of associate that Conji Ltd. should record is
a) $4,000
b) $6,250
c) $20,000
d) $25,000
Answer: b
Difficulty: Hard
statements.
Section Reference 1: The Equity Method of Accounting on Consolidated and Separate
Feedback: Review section “Applying the Equity Method: Basic Method.”
35) Regarding goodwill and fair value adjustments, any excess of the entity’s share of the
net fair value of an associate or joint venture’s identifiable assets and liabilities over the
cost of the investment is to be recognized as _______________ in the determination of
the entity’s share of the associate or joint venture’s profit or loss in the period in which
the investment is acquired.
a) income
b) a reserve
c) goodwill
d) other comprehensive income
Answer: a
Difficulty: Hard
36) Omar Corporation uses the equity method to account for its 25% investment in
Limpit Corporation and receives $15,000 in dividends. How should Omar account for
these dividends?
a) A decrease in the investment.

b) An increase in income.
c) A decrease in income.
c) An increase in assets.
Answer: a
Difficulty: Medium
statements.
Feedback: Review section “Applying the Equity Method: Basic Method”
37) The difference between the fair value and the ___________ value of the investment
at the day of a second acquisition of the same shares, is a gain or loss through the profit
and loss of the entity.
a) book
b) carrying
c) current
d) future.
Answer: b
Difficulty: Easy
Learning Objective 1: Account for the investing in an associate or joint venture in stages.
Section Reference 1: Investing in an Associate or Joint Venture in Stages
38) The maximum difference between the ends of the reporting periods of the entity and
the associate or joint venture can be no more than:
a) 1 month
b) 3 months
c) 6 months
d) 12 months.
Answer: b
Difficulty: Easy
Feedback: Review section “Different Ends of Reporting Periods”
39) The entity’s share of losses of an associate or joint venture may be offset against:
a) Other investments the entity has in the associate or joint venture.

b) Its income.
c) Its other comprehensive income.
d) The associate’s or joint venturer’s retained earnings.
Answer: a
Difficulty: Medium
Learning Objective 1: Account for losses recorded by the associate or joint venture.
Section Reference 1: Losses Recorded by the Associate or Joint Venture
40) The entity’s share of current period profit of the associate or joint venture is disclosed
as a separate line item in the entity’s __________________
a) statement of comprehensive income.

b) statement of financial position.
c) statement of cash flows.
d) statement of changes in equity.
Answer: a
Difficulty: Medium
statements.
41) Dogma Ltd. records its investment in Fayer Co. at cost. During the year, Dogma
received $20,000 in dividends from Fayer. How should Dogma record these dividends?
a) As dividend income in its statement of comprehensive income.

b) As an increase to the "Investment in Fayer Co." account on its statement of financial
position.
c) As a decrease to the "Investment in Fayer Co." account on its statement of financial
position.
d) As dividend income on its statement of changes in equity-retained earnings section.
Answer: a
Difficulty: Medium
statements.
Statements”
42) The purpose of the acquisition analysis relating to goodwill and fair value
adjustments is to determine the real post-acquisition equity of the
____________________.
a) associate.
b) joint venture.
c) parent.
d) associate or joint venture.
Answer: d
Difficulty: Easy
43) If an associate or joint venture uses accounting policies other than those of the entity
for like transactions and events in similar circumstances, adjustments shall be made to
conform the _______________ accounting policies to those of the ______________
when the associate or joint venture’s financial statements are used by the entity in
applying the equity method.
a) associate or joint venture’s; entity

b) entity’s; associate or joint venture
c) parent’s; subsidiary;
d) subsidiary’s; parent.
Answer: a
Difficulty: Medium
Feedback: Review section “Dissimilar Accounting Policies”
44) Adjustments to the entity’s share of the equity of the associate or joint venture are not
made to accounts such as __________________ as would occur under the consolidation
method.
a) retained earnings
b) downstream transactions
c) sales and cost of sales
d) upstream transactions.
Answer: c
Difficulty: Medium
Learning Objective 1: Adjust for the effects of intercompany transactions.
Section Reference 1: Effects of Intercompany Transactions
45) In calculating the entity’s share of equity of the associate or joint venture, dividend
revenue will need to be removed from the entity’s consolidated financial statements since
the ______________ method will now replace the ______________ method of
accounting for the investment.
a) fair value; equity

b) consolidation; proportionate consolidation
c) equity; cost
d) intercompany; cost.
Answer: c
Difficulty: Medium
46) Assume Timpet Ltd. acquired 10% of the shares of Dawson Ltd on January 1, 2012
for $13,000. At December 31, 2012, the end of the entity’s reporting period, the fair value
of the investment was $16,200. The investment was designated as fair value through
profit and loss based on IFRS 9.
On July 1 2013, Timpet Ltd. acquired a further 10% of the share capital of Dawson Ltd.
for $17,200 (this also being the fair value of the initial investment in Dawson Ltd. at this
date), when the equity of Dawson Ltd. consisted of:

Asset revaluation reserve 12,000
Retained earnings (1/1/13) 38,000
Profit (1/1/13 to 30/6/13) 8,000
The identifiable assets and liabilities of Dawson Ltd were recorded at fair value at this
date except for inventory, whose fair value was $15,000 greater than carrying amount.
This acquisition gives Timpet Ltd. significant influence over Dawson Ltd.
On January 1, 2012, which of the following statements is TRUE?
a) Timpet Ltd. would record its investment in Dawson Ltd. at $13,000.

b) Timpet Ltd. would revalue its investment to $16,200, recognizing $3,200 in net
income.
c) Dawson Ltd. becomes an associate.
d) Timpet Ltd. becomes a joint venture.
Answer: a
Difficulty: Hard
Learning Objective 1: Account for the investing in an associate or joint venture in stages.
Section Reference 1: Investing in an Associate or Joint Venture in Stages
47) The entity’s share of losses of an associate or joint venture is recognized but only to
the point where the carrying amount of the investment in the associate or joint venture is
a) Greater than the entity’s income.

b) Less than the entity’s income.
c) Zero.
d) Less than the income of the associate or joint venture.
Answer: c
Difficulty: Medium
Learning Objective 1: Account for losses recorded by the associate or joint venture.
Section Reference 1: Losses Recorded by the Associate or Joint Venture
48) Sales of assets from the entity to its associate or its joint venture is an example of a(n)
______________________ transaction.
a) downstream
b) equity
c) fair value
d) upstream.
Answer: a
Difficulty: Medium
Learning Objective 1: Adjust for the effects of intercompany transactions.
Section Reference 1: Effects of Intercompany Transactions
49) Where dividends are paid/declared by an associate or joint venture and the entity
prepares consolidated financial statements, the dividend revenue recognized in the
______________ accounts is eliminated on consolidation.
a) parent’s
b) associate’s
c) subsidiary’s
d) joint venturer’s.
Answer: a
Difficulty: Medium
50) Queen Ltd. reports its investment in Kramer Co. on an equity basis. During the year,
Queen received $15,000 in dividends from Kramer. How should Queen report these
dividends?
a) As dividend income on its statement of changes in equity-retained earnings section.

b) As dividend income in its statement of comprehensive income.
c) As an increase to the "Investment in Kramer Co." account on its statement of financial
position.
d) As a decrease to the "Investment in Kramer Co." account on its statement of financial
position.
Answer: d
Difficulty: Medium
statements.
Short Answer
51) Describe how investments in associates and joint ventures are accounted for by a
parent entity, which will and will not prepare consolidated financial statements.
Difficulty: Medium
statements.
Statements”
Solution:
Suggested answer:
For a parent entity, which will prepare consolidated financial statements, investments in
associates or joint ventures held by the parent or its subsidiaries are accounted for in the
consolidated financial statements by the equity method. Therefore, the accounting
adjustments applying the equity method to the investment in the associate or joint venture
are made in the consolidated financial statements only. The adjustments are made on a
year-to-year basis, because no permanent adjustments for the equity accounting are made
in the records of the entity.
Where the entity does not prepare consolidated financial statements — it is not a parent
— the entity applies the equity method to its associate or joint ventures in its own
accounting records. The accounts of the entity are then affected by the application of the
equity method, in contrast to the situation where the equity method adjustments are made
in the consolidation process.
52) An investment in an associate or joint venture is accounted for using the equity
method from the date on which it becomes an associate or joint venture. On acquisition of
the investment, how is any difference between the cost of the investment and the entity’s
share of the net fair value of the investee’s identifiable assets and liabilities accounted
for?
Difficulty: Medium
Solution:
Suggested answer:
Any difference between the cost of the investment and the entity’s share of the net fair
value of the investee’s identifiable assets and liabilities is accounted for as follows:
(a) Goodwill relating to an associate or a joint venture is included in the carrying amount
of the investment. Amortization of that goodwill is not permitted.
(b) Any excess of the entity’s share of the net fair value of the investee’s identifiable
assets and liabilities over the cost of the investment is included as income in the
determination of the entity’s share of the associate or joint venture’s profit or loss in the
period in which the investment is acquired.
53) Describe how dividends from a subsidiary, associate and joint venture are
accounted for by a parent (entity).
Difficulty: Medium
Learning Objective: Adjust for movements in equity from dividends and reserves, and the
effects of dissimilar accounting policies and different ends of reporting periods.
Solution:
Suggested answer:
All dividends paid or payable by a subsidiary to a parent are to be recognized as revenue

by the parent in its own financial statements. When the associate or joint venture pays or
declares a dividend, the entity records dividend revenue. As noted earlier in this chapter,
because on consolidation, the investment account has been adjusted for the entity’s share
of all post-acquisition equity, applying the equity method requires the investment account
to be adjusted for dividends paid or declared.
Where consolidated financial statements are prepared, the consolidated adjustments to

remove the dividend revenue, which is included in the company’s net income for its
separate financial statements is to reduce dividend revenue and reduce investment in
associate or joint venture.
54) If an entity had previously held an investment in another entity and by a further
investment that investee became an associate or joint venture of the entity, what must be
recorded at the date of the second investment?
Difficulty: Medium
Solution:
Suggested answer:
If an entity had previously held an investment in another entity and by a further

investment that investee became an associate or joint venture of the entity, at the date of
the second investment:
• the previously held investment is revalued to fair value with any gain/loss being
taken to profit or loss
• if the previously held investment had been measured at fair value with changes in
fair value being recognized directly in equity, those amounts are transferred to
current period retained earnings.
55) What are the principles for adjusting for the effects of intercompany transactions
under IAS 28?
Difficulty: Medium
Solution:
Suggested answer:
The principles for adjusting for the effects of intercompany transactions under IAS 28 are
as follows:
• Adjustments must be made for transactions between the associate or joint venture
and the entity that give rise to unrealized profits or losses. Realization of such
profits or losses occurs when the asset on which the profit or loss accrued is sold
to an external party or as the future benefits embodied in the asset are consumed.
Unlike consolidation, there is no need to adjust for all transactions between the
entity and the associate or joint venture; only the transactions where profit is
affected require adjustment. Therefore, transactions such as the holding of
debentures by one entity in another entity, and the payment of interest on those
debentures, do not require an adjustment under equity accounting.
• Unlike adjustments for unrealized profits and losses within a consolidated group,
adjustments for transactions between an entity and an associate or joint venture
are done on a proportional basis, determined in accordance with the entity’s
ownership interest in the associate or joint venture. This is reasonable given that,
under the equity method, only the entity’s share of the equity of the associate or
joint venture is recognized and not the full equity of the associate or joint venture.
• IAS 28 does not detail which accounts should be adjusted in this process. For
example, if the associate or joint venture sells an item of inventory to the entity at
a profit, it is necessary to adjust the entity’s share of the recorded profits of the
associate or joint venture. Tthere are no adjustments to specific asset accounts
such as Property, Plant and equipment or Inventory.
56) Describe how to account for losses incurred by associate and joint venturers.
Difficulty: Medium
Solution:
Suggested answer:
The carrying amount of the investment is not just the balance of the account Investment
in Associate or Joint Venture. The entity’s interest in the associate or joint venture also
includes other long-term interests in the associate or joint venture, such as preference
shares or long-term receivables or loans. The base against which the losses are offset is
then the entity’s net investment in the associate or joint venture, including these other
long-term interests. Where the associate or joint venture incurs losses, the carrying
amount of the Investment in Associate or joint Venture is first reduced to zero. If losses
exceed this carrying amount, they are then applied against the other components of the
entity’s interest in the associate or joint venture in the reverse order of their seniority, or
priority in liquidation. The logic is that, if the associate or joint venture is making losses,
then the probability of the other investments in the associate or joint venture being
realized is lessened.
After the entity’s interest is reduced to zero, additional losses are recorded if the entity
has a legal or constructive obligation or made payments on behalf of the associate or joint
venture.
When the associate or joint venture subsequently reports profits, the company resumes
recognizing its share of those profits only after its share of the profits equals the share of
losses not recognized.
57) On February 1, 2012, Jesse Co. purchased 20% of the outstanding shares of Avril Inc.
at a cost of $275,000. During the next two fiscal years, Avril Inc. reported the following:
Net income Dividends

January 31, 2013 $42,000 $20,000
January 31, 2014 $35,000 $15,000
Required:
(a) If Jesse records its investment in Avril at cost, what would the balance in the
investment account be at January 31, 2014? What would be reported on the statement of
comprehensive income with respect to this investment for 2013 and 2014?
(b) If Jesse uses the equity method for reporting its investment in Avril, what would
the balance in the investment account be at January 31, 2014? What would be reported on
the statement of comprehensive income with respect to this investment?
Difficulty: Hard
statements.
Section Reference: Equity Method of Accounting and Consolidated and Separate
Statements
Solution:
Suggested answer:
(a) Will result in the Investment in Avril account being $275,000, the original
investment amount, at January 31, 2014.
Dividend income of $4,000 ($20,000 X 20%) will be reported for the year ended January
31, 2013.
Dividend income of $3,000 ($15,000 X 20%) will be reported for the year ended January
31, 2014.
(b) The equity method will result in the Investment in Avril account being as follows:
$
Opening balance Feb 1, 2012 275,000
Jan 2013 – Share of profit of Avril 20% ×
$42,000 8,400
Dividends received during 2013 20% ×
$20,000 (4,000)
Balance Jan 31, 2013 279,400
Jan 2014 – Share of profit of Avril 20% × 7,000
$35,000
Dividends received during 2014 20% ×
$15,000 (3,000)
Balance Jan 31, 2014 283,400
The amounts showing on the statement of comprehensive income for each year is:
For the year ended January 31, 2013 — Share of profit of Avril $8,400
For the year ended January 31, 2014 — Share of profit of Avril $7,000
59) On January 1, 2013, Edie Ltd acquired 25% of the shares of Gowan Ltd for $79,375.
At this date, the equity of Gowan Ltd consisted of:
At the acquisition date, all the identifiable assets and liabilities of Gowan Ltd were
recorded at fair value, except for plant for which the fair value was $15,000 greater than
its carrying amount, and inventory whose fair value was $5,000 greater than its cost. The
tax rate is 30%. The plant has a further 5-year life. The inventory was all sold by
December 31, 2013.
In the reporting period ending December 31, 2013, Gowan Ltd reported a profit of
$15,000.
The acquisition analysis at January 1, 2013 is as follows:
Cost of investment = $79,375
Net fair value of the identifiable assets and = ($150,000 + $80, 000) (equity)
liabilities of Gowan Ltd
+ $15,000 (1 - 30%) (plant)
+ $5,000(1 - 30%) (inventory)
= $244,000
Net fair value acquired by Edie Ltd = 25% × $180,500
= $61,000
Goodwill = $18,375
Depreciation (net of tax) of plant p.a. = 1/5 × (25% × [$15,000(1 – 30%)])
= $525
Effect of sale of inventory (net of tax) = 25% × $5,000(1 – 30%)
= $875
Required:
(a) What is the amount of the adjustment needed in applying equity accounting to the
investment in the associate at December 31, 2013?
(b) What is the journal entry to reflect the application of the equity method to the
investment?
Difficulty: Hard
Solution:
Suggested answer:
a)
Share of profit recorded by $3,750
associate (25% × $15,000)
Fair value adjustments:
Depreciation of plant $(525)
Sale of inventory (875) (1,400)
Share of post-acquisition $2,350
profit of associate
b)
Investment in Dr 2,350
Gowan Ltd
Share of Profit or Cr 2,350
Loss of Associate
(Recognition of
share of post-
acquisition profit of
associate or joint
venture)
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The Project Gutenberg eBook of Dulcie Carlyon: A
novel. Volume 1 (of 3)
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and most other parts of the world at no cost and with almost no
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Title: Dulcie Carlyon: A novel. Volume 1 (of 3)
Author: James Grant
Release date: June 12, 2022 [eBook #68293]
Language: English
Original publication: United Kingdom: Ward and Downey, 1886
Credits: Al Haines
*** START OF THE PROJECT GUTENBERG EBOOK DULCIE

CARLYON: A NOVEL. VOLUME 1 (OF 3) ***
DULCIE CARLYON.
A Novel.
BY
JAMES GRANT,
AUTHOR OF 'THE ROMANCE OF WAR,' ETC.
IN THREE VOLUMES.
VOL. I.
LONDON:
WARD AND DOWNEY,
12, YORK STREET, COVENT GARDEN.
1886.
[All Rights Reserved.]

NEW NOVELS AT EVERY LIBRARY.
FROM THE SILENT PAST. By Mrs. HERBERT MARTIN. 2 Vols.
COWARD AND COQUETTE. By the Author of 'The Parish of Hilby.' 1

vol.
MIND, BODY, AND ESTATE. By the Author of 'Olive Varcoe.' 3 vols.
AT THE RED GLOVE. By KATHARINE S. MACQUOID. 3 vols.
WHERE TEMPESTS BLOW. By the Author of 'Miss Elvester's Girls.' 3

vols.
IN SIGHT OF LAND. By Lady DUFFUS HARDY. 3 vols.
AS IN A LOOKING-GLASS. By F. C. PHILIPS. 1 vol.
LORD VANECOURT'S DAUGHTER. By MABEL COLLINS. 3 vols.
WARD AND DOWNEY, PUBLISHERS, LONDON.
In Loving Memory
OF
MY ELDEST SON,
JAMES SIMPSON GRANT,

Captain Cheshire Regiment,
I INSCRIBE
THIS MILITARY STORY.
CONTENTS OF VOL. I.
CHAPTER
I. IN THE HOWE OF THE MEARNS
II. WEDDED
III. THE SPURNED OFFER
IV. REVELSTOKE COTTAGE
V. DULCIE
VI. THE SECRET PACKET
VII. A FAREWELL
VIII. THE SILVER LOCKET
IX. MR. KIPPILAW, W.S.
X. ALONE IN THE WORLD
XI. SHAFTO IN CLOVER
XII. VIVIAN HAMMERSLEY
XIII. AMONG THE GROUSE

XIV. THE TWO FINELLAS
XV. AT REVELSTOKE AGAIN
XVI. ''TIS BUT THE OLD, OLD STORY'
XVII. AT CRAIGENGOWAN
XVIII. AT THE BUFFALO RIVER
XIX. ELANDSBERGEN
XX. BAFFLED!
DULCIE CARLYON.
CHAPTER I.
IN THE HOWE OF THE MEARNS.
'This will end in a scene, Fettercairn, and you know how I hate scenes.'
'So do I, they are such deuced bad form.'
'I shall need all my self-possession to get over the esclandre this affair
may cause,' exclaimed the lady, fanning herself violently.
'Well, life is made up of getting over things,' responded her husband.

'But not things so disgraceful as this, Fettercairn!'
'Is this son of yours in his senses?'
'Who is that loves? it has been asked,' said the culprit referred to.
'A marriage between you and a penniless girl in her rank of life is not to
be thought of, Lennard.'
'Her rank of life, father?'
'Yes!'
'Her father's rank was superior to that of the first of our family, when life
began with him.'
'What is that to you or to me now?'
'Much to me.'
'Too much, it would seem.'
The excited speakers were a Peer, Cosmo, Lord Fettercairn, his wife, the
Lady thereof, and their youngest son, Lennard Melfort, a captain of the line,
home on leave from India, who had been somewhat timidly venturing to
break—knowing the inordinate family vanity of his parents—we say to
break the news of his love for a girl possessed of more beauty than this
world's goods; and, in his excitement and indignation, his lordship's usual
easy, indolent, and drawling way was forgotten now when addressing his
son.
Cosmo, Lord Fettercairn of that Ilk (and Strathfinella in the Mearns) was
by nature a proud, cold, selfish, and calculating man, whose chief passion in
life was a combined spirit of enormous vanity and acquisitiveness, which he
inherited from his predecessors, whom he resembled in political caution and
selfishness, and also in personal appearance, to judge from the portraits of
three generations, by Sir John de Medina, Aikman, and Raeburn, adorning
the walls of the stately room in the house of Craigengowan, where this
rather stormy interview took place.
Tall and thin in figure, with flat square shoulders and sandy-coloured
hair, cold grey eyes, and irregular features, he was altogether a contrast to
his son Lennard, who inherited his slightly aquiline nose and perfect face
from his mother, but his firm dark eyes and rich brown hair from a previous
generation; and these, together with an olive complexion, rendered more
dusky by five years' exposure to an Indian sun, made his aspect a very
striking one.
My Lady Fettercairn's birth and breeding were, as Sir Bernard Burke had
recorded, irreproachable, and she certainly seemed a grande dame to the
tips of her long slender fingers. She was about forty-five years of age, but
looked ten younger. The upper part of her aristocratic face was strikingly
handsome; but the lower, with its proud and firm lips, was less pleasant to
look at. Her complexion was almost colourless, her hair of the lightest
brown, like her eyebrows and lashes; while her eyes were clear and blue as
an Alpine sky, and, as Lennard often thought with a sigh, they seemed quite
as—cold.
Her manner was always calm, assured, and self-possessed. She would
smile, but that smile never degenerated into honest laughter, while her pale
and impressive face was without a line—especially on her forehead—that
seemed to indicate either thought or reflection, and certainly she had never
known care or sorrow or even annoyance until now.
'She is beautiful, mother,' urged the young man, breaking an ominous

silence, with reference to the object of his love.
'Perhaps; but she is not one of us,' exclaimed Lady Fettercairn, cresting
up her handsome head haughtily, and a whole volume of intense pride and
hauteur was centred in the last word she spoke.
'Who is this Flora MacIan, as she calls herself?' asked his father in a
similar tone; 'but I need not ask. You have already told us she is the
governess in a house you have been recently visiting—that of Lady
Drumshoddy—a governess, with all her beauty, poor and obscure.'
'Not so obscure,' said Lennard, a wave of red passing under the tan of his
olive cheek; 'her father was a gallant old officer of the Ross-shire Buffs,
who earned his V.C. at the battle of Khooshab, in Persia, and her only
brother and support fell when leading on his Grenadiers at the storming of
Lucknow. The old captain was, as his name imports, a cadet of the
Macdonalds of Glencoe.'
'With a pedigree of his family, no doubt, from the grounding of the Ark
to the battle of Culloden,' sneered his father.
'Then his family would end soon after ours began,' retorted the son,
becoming greatly ruffled now. 'You know, father, we can't count much
beyond three generations ourselves.'
Lord Fettercairn, wounded thus in his sorest point, grew white with
anger.
'We always suspected you of having some secret, Lennard,' said his
mother severely.
'Ah, mother, unfortunately, as some one says, a secret is like a hole in

your coat—the more you try to hide it, the more it is seen.'
'An aphorism, and consequently vulgar; does she teach you this style of
thing?' asked the haughty lady, while Lennard reddened again with
annoyance, and gave his dark moustache a vicious twist, but sighed and
strove to keep his temper.
'I have found and felt it very bitter, father, to live under false colours,'
said he gently and appealingly, 'and to keep that a secret from you both,
which should be no secret at all.'
'We would rather not have heard this secret,' replied Lord Fettercairn
sternly, while tugging at his sandy-coloured mutton-chop whiskers.
'Then would you have preferred that I should be deceitful to you, and
false to the dear girl who loves and trusts me?'
'I do not choose to consider her,' was the cold reply.
'But I do, and must, now!'

'Why?'
'Because we are already married—she is my wife,' was the steady

response.
'Married!' exclaimed his father and mother with one accord, as they
started from their chairs together, and another ominous silence of a minute
ensued.
'My poor, lost boy—the prey of an artful minx!' said Lady Fettercairn,
looking as if she would like to weep; but tears were rather strangers to her
cold blue eyes.
'Mother, dear mother, if you only knew her, you would not talk thus of
Flora,' urged Lennard almost piteously. 'If we had it in our power to give
love and to withhold it, easy indeed would our progress be through life.'
'Love—nonsense!'
'Save to the two most interested, who are judges of it,' said Lennard.
'Surely you loved my father, and he you.'
'Our case was very different,' replied Lady Fettercairn, in her anger
actually forgetting herself so far as to bite feathers off her fan with her firm
white teeth.
'How, mother dear?'
'In rank and wealth we were equal.'
Lennard sighed, and said:
'I little thought that you, who loved me so, would prove all but one of the
mothers of Society.'
'What do you mean, sir?' demanded his father.
'What a writer says.'

'And what the devil does he say?'
'That "love seems such a poor and contemptible thing in their eyes in
comparison with settlements. Perhaps they forget their own youth; one
does, they say, when he outlives romance. And I suppose bread and butter is
better than poetry any day."'
'I should think so.'
'We had other and brilliant views for you,' said his mother in a tone of
intense mortification, 'but now——'
'Leave us and begone, and let us look upon your face no more,'
interrupted his father in a voice of indescribable sternness, almost hoarse
with passion, as he pointed to the door.
'Mother!' said Lennard appealingly, 'oh, mother!' But she averted her
face, cold as a woman of ice, and said, 'Go!'
'So be it,' replied Lennard, gravely and sadly, as he drew himself up to

the full height of his five feet ten inches, and a handsome and comely
fellow he looked as he turned away and left the room.
'Thank God, his elder brother, Cosmo, is yet left to us!' exclaimed Lady
Fettercairn earnestly.
It was the last time in this life he ever heard his mother's voice, and he
quitted the house. On the terrace without, carefully he knocked the ashes
out of his cherished briar-root, put it with equal care into its velvet-lined
case, put the case into his pocket, and walked slowly off with a grim and
resolute expression in his fine young face, upon which from that day forth
his father and mother never looked again.
Then he was thinking chiefly of the sweet face of the young girl who had
united her fortunes with his, and who was anxiously awaiting the result of
the interview we have described.
Sorrow, mortification, and no small indignation were in the heart of
Lennard Melfort at the result of the late interview.
'I have been rash,' he thought, 'in marrying poor Flora without their
permission, but that they would never have accorded, even had they seen
her; and none fairer or more beautiful ever came as a bride to
Craigengowan.'
Pausing, he gave a long and farewell look at the house so named—the

home of his boyhood.
It stands at some distance from the Valley of the Dee (which forms the
natural communication between the central Highlands and the fertile
Lowlands) in the Hollow or Howe of the Mearns. Situated amid luxuriant
woods, glimpses of Craigengowan obtained from the highway only excite
curiosity without gratifying it, but a nearer approach reveals its picturesque
architectural features.
These are the elements common to most northern mansions that are built
in the old Scottish style—a multitude of conical turrets, steep crowstepped
gables and dormer gablets, encrusted with the monograms and armorial
bearings of the race who were its lords when the family of Fettercairn were
hewers of wood and drawers of water.
The turrets rise into kindred forms in the towers and gables, and are the
gradual accumulation of additions made at various times on the original old
square tower, rather than a part of the original design, but the effect of the
whole is extremely rich and picturesque.
In the old Scottish garden was an ancient sun and moon dial, mossy and
grey, by which many a lover had reckoned the time in the days of other
years.
Of old, Craigengowan belonged to an exiled and attainted Jacobite

family, from whom it passed readily enough into the hands of the second
Lord Fettercairn, a greedy and unscrupulous Commissioner on the forfeited
estates of the unfortunate loyalists. It had now many modern comforts and
appliances; the entrance-hall was a marble-paved apartment, off which the
principal sitting-rooms opened, and now a handsome staircase led to the
upper chambers, whilom the abode of barons who ate the beef and mutton
their neighbours fed in the valley of the Dee.
The grounds were extensive and beautiful, and Lord Fettercairn's flower
gardens and conservatories were renowned throughout Angus and the
Mearns.
To the bitter storm that existed in his own breast, and that which he had
left in those of his parents, how peaceful by contrast looked the old house
and the summer scenery to Lennard—the place on which he probably
would never gaze again.
There was a breeze that rustled the green leaves in the thickets, but no
wind. Beautiful and soft white clouds floated lazily in the deep blue sky,
and a recent shower had freshened up every tree, meadow, and hedgerow.
The full-eared wheat grew red or golden by the banks of the Bervie, and the
voice of the cushat dove came from the autumn woods from time to time as
with a sigh Lennard Melfort turned his back on Craigengowan for ever,
cursing, as he went, the pride of his family, for, though not an old one, by
title or territory, they were as proud as they were unscrupulous in politics.
The first prominent member of the family, Lennard Melfort, had been a
Commissioner for the Mearns in the Scottish Parliament, and for political
services had been raised to the peerage by Queen Anne as Lord Fettercairn
and Strathfinella, and was famous for nothing but selling his Union vote for
the same sum as my Lord Abercairnie, £500, and for having afterwards 'a
rug at the compensation,' as the English equivalent money was called. After
the battle of Sheriffmuir saw half the old peerages of Scotland attainted, he
obtained Craigengowan, and was one 'who,' as the minister of Inverbervie
said, 'wad sell his soul to the deil for a crackit saxpence.'
With the ex-Commissioner the talent—such as it was—of the race

ended, and for three generations the Lords of Fettercairn had been neither
better nor worse than peers of Scotland generally; that is, they were totally
oblivious of the political interests of that country, and of everything but
their own self-aggrandisement by marriage or otherwise.
Lennard Melfort seemed the first of the family that proved untrue to its
old instincts.
'And I had made up my mind that he should marry Lady Drumshoddy's

daughter—she has a splendid fortune!' wailed Lady Fettercairn.
'Married my governess—the girl MacIan!' snorted my Lady

Drumshoddy when she heard of the dreadful mésalliance. 'Why marry the
creature? He might love her, of course—all men are alike weak—but to
marry her—oh, no!'
And my Lady Drumshoddy was a very moral woman according to her

standard, and carried her head very high.
When tidings were bruited abroad of what happened, and the split in the
family circle at Craigengowan, there were equal sorrow and indignation
expressed in the servants' hall, the gamekeepers' lodges, and the home farm,
for joyous and boyish Captain Melfort was a favourite with all on the
Fettercairn estates; and Mrs. Prim, his mother's maid, actually shed many
tears over the untoward fate he had brought upon himself.
CHAPTER II.
WEDDED.
'And you will love me still, Flora, in spite of this bitter affront to which
you are subjected for my sake?' said Lennard.
'Yes,' said the girl passionately, 'I love you, Lennard—love you so much,'
she added, while her soft voice broke and her blossom-like lips quivered,
'that were I to lose you I would die!'
'My darling, you cannot lose me now,' he responded, while tenderly
caressing her.
'Are we foolish to talk in this fashion, Lennard?'
'Foolish?'
'Yes—or rash. I have heard that it is not lucky for people to love each
other so much as we do.'
'Could we love each other less?'
'I don't think so,' said she simply and sweetly, as he laid her cheek on his
breast with her upturned eyes gazing into his.
The girl was slight and slender, yet perfect was every curve of her
shapely figure, which was destitute of any straight line; even her nose was,
in the slightest degree, aquiline. Her beautifully arched mouth, the scarlet
line of her upper lip, and the full round of the nether one were parted in a
tender smile, just enough to show her teeth, defied all criticism; her
complexion was pure and soft, and her eyes were of the most liquid hazel,
with almost black lashes. Her hair was of the same tint, and Flora seemed a
lady to perfection, especially by the whiteness and delicacy of her
beautifully shaped little hands.
When she walked she did so gracefully, as all Highland women do, and
like them held her head poised on her slender neck so airily and prettily that
her nurse, Madelon, called her 'the swan.'
'How I trembled, Lennard,' said she, after a pause, 'as I thought of the
mauvais quart d'heure you were undergoing at Craigengowan.'
'It was a mauvais hour and more, darling.'
'And ever and anon I felt that strange chill, or shudder, which Nurse
Madelon says people feel when some one crosses the place where their
grave is to be. How can your parents be so cruel to you?'
'And to you, Flora!'

'Ah, that is different,' she replied, with her eyes full of unshed tears, and
in a pained voice. 'Doubtless they consider me a very designing girl; but in
spite of that, you will always care for me as much as you do now?'
'Why such fears? Ever and always—ever and always, my darling,' said
Lennard Melfort, stopping her questioning lips most effectually for a time.
'Oh, if you should ever come to regret, and with regret to love me less!'
said she, in a low voice, with her eyes for a moment fixed on vacancy.
'Why that boding thought, Flora?'
'Because, surely, such great love never lasts.'
He kissed her again as the readiest response.
But the sequel proved that his great love outlasted her own life, poor
girl!
Then they sat long silent, hand locked in hand, while the gloaming
deepened round them, for words seem poor and feeble when the heart is
very full.
'How long will they continue to despise me?' said Flora suddenly, while
across her soft cheeks there rushed the hot blood of a long and gallant line
of Celtic ancestors.
An exclamation of bitterness—almost impatience, escaped Lennard.
'Let us forget them—father, mother, all!' said he.
The girl looked passionately into the face of her lover-husband—the

husband of a month; and never did her bright hazel eyes seem more tender
and soft than now, with all the fire of love and pride sparkling in their
depths, for her Highland spirit and nature revolted at the affront to which
she was subjected.
The bearing of Lennard Melfort and the poise of his close-shorn head
told that he was a soldier, and a well-drilled one; and the style of his light
grey suit showed how thoroughly he was a gentleman; and to Flora's loving
and partial eye he was every-way a model man.
They had been married just a month, we have said, a month that very
day, and Lennard had brought his bride to the little burgh town, within a
short distance of Craigengowan, and left her in their apartments while he
sought with his father and mother the bootless interview just narrated.
For three days before he had the courage to bring it about, they had spent
the time together, full of hopeful thoughts, strolling along the banks of the
pretty Bervie, from the blue current of which ever and anon the bull-trout
and the salmon rise to the flies; or in the deep and leafy recourses of the
adjacent woods, and climbing the rugged coast, against which the waves of
the German Sea were rolling in golden foam; or ascending Craig David, so
called from David II. of Scotland—a landmark from the sea for fifteen
leagues—for both had a true and warm appreciation and artistic love of
Nature in all her moods and aspects.
The sounds of autumn were about them now; the hum of insects and the
song of the few birds that yet sang; the fragrance of the golden broom and
the sweet briar, with a score of other sweet and indefinable scents and
balmy breaths. All around them was scenic beauty and peace, and yet with
all their great love for each other, their hearts were heavy at the prospect of
their future, which must be a life of banishment in India, and to the
heaviness of Lennard was added indignation and sorrow. But he could
scarcely accuse himself of having acted rashly in the matter of his marriage,
for to that his family would never have consented; and he often thought
could his mother but see Flora in her beauty and brightness, looking so
charming in her smart sealskin and bewitching cap and feather, and long
skirt of golden-brown silk that matched her hair and eyes—every way a
most piquante-looking girl!
Young though he was, and though a second son, Lennard Melfort had
been a favourite with more than one Belgravian belle and her mamma, and
there were few who had not something pleasant or complimentary to say of
him since his return from India. At balls, fêtes, garden and water parties,
girls had given him the preference to many who seemed more eligible, had
reserved for him dances on their programmes, sang for him, made
unmistakable œillades, and so forth; for his handsome figure and his
position made him very acceptable, though he had not the prospects of his
elder brother, the Hon. Cosmo.
Lady Fettercairn knew how Lennard was regarded and valued well, and
nourished great hopes therefrom; but this was all over and done with now.
To her it seemed as if he had thrown his very life away, and that when
his marriage with a needy governess—however beautiful and well born she
might be—became known, all that charmed and charming circle in
Belgravia and Tyburnia would regard him as a black sheep indeed; would
shake their aristocratic heads, and pity poor Lord and Lady Fettercairn for
having such a renegade son.
Flora's chief attendant—a Highland woman who had nursed her in

infancy—was comically vituperative and indignant at the affront put by
these titled folks upon 'her child' as she called her.
Madelon Galbraith was strong, healthy, active, and only in her fortieth
year, with black eyes and hair, a rich ruddy complexion, a set of
magnificent white teeth, and her manner was full of emphatic, almost
violent, gesticulation peculiar to many Highlanders, who seem to talk with
their hands and arms quite as much as the tongue.
Sometimes Madelon spoke in her native Gaelic, but generally in the

dialect of the Lowlands.
'Set them up indeed,' she muttered; 'wha are the Melforts o' Fettercairn,
that they should slight you—laoghe mo chri?' she added, softly (calf of my
heart). 'What a pity it is ye canna fling at their heads the gold they love, for
even a Lowland dog winna yowl gin ye pelt him wi' banes. But you've
begun wi' love and marriage, and a gude beginning mak's a gude ending.'
'But we shall be so poor, Nursie Madelon, and I have ruined my poor

Lennard,' urged Flora, as the kind woman caressed her.
'They say a kiss and a cup of water mak' but a wersh breakfast,' laughed
Madelon; 'but you're no sae puir as that comes to, my darling.'

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Modern Advanced Accounting in Canada Canadian 8th

Advanced Accounting 13th Edition Hoyle Test Bank

Advanced Accounting 12th Edition Beams Test Bank

4) All dividends paid or payable by an investee to an investor are to be recognized as

16) How do joint ventures differ from private corporations?

a) When control is attained.

a) Cost and consolidation.

a) A holding of 3,000 of the 10,000 outstanding preferred shares of Green Co.

a) and does not recognize the resulting gain or loss.

Based on the above, the gain to be recognized immediately by Kibble is:

28) An investment in an associate or joint venture is reported using the _____________

a) Using the equity method.

a) Asset revaluation reserve.

Share capital $100,000

a) A decrease in the investment.

a) Other investments the entity has in the associate or joint venture.

a) statement of comprehensive income.

a) As dividend income in its statement of comprehensive income.

a) associate or joint venture’s; entity

a) fair value; equity

Share capital $100,000

a) Timpet Ltd. would record its investment in Dawson Ltd. at $13,000.

a) Greater than the entity’s income.

a) As dividend income on its statement of changes in equity-retained earnings section.

All dividends paid or payable by a subsidiary to a parent are to be recognized as revenue

Where consolidated financial statements are prepared, the consolidated adjustments to

If an entity had previously held an investment in another entity and by a further

Net income Dividends

Title: Dulcie Carlyon: A novel. Volume 1 (of 3)

Author: James Grant

Release date: June 12, 2022 [eBook #68293]

Original publication: United Kingdom: Ward and Downey, 1886

*** START OF THE PROJECT GUTENBERG EBOOK DULCIE

[All Rights Reserved.]

FROM THE SILENT PAST. By Mrs. HERBERT MARTIN. 2 Vols.

COWARD AND COQUETTE. By the Author of 'The Parish of Hilby.' 1

MIND, BODY, AND ESTATE. By the Author of 'Olive Varcoe.' 3 vols.

AT THE RED GLOVE. By KATHARINE S. MACQUOID. 3 vols.

WHERE TEMPESTS BLOW. By the Author of 'Miss Elvester's Girls.' 3

IN SIGHT OF LAND. By Lady DUFFUS HARDY. 3 vols.

AS IN A LOOKING-GLASS. By F. C. PHILIPS. 1 vol.

LORD VANECOURT'S DAUGHTER. By MABEL COLLINS. 3 vols.

WARD AND DOWNEY, PUBLISHERS, LONDON.

JAMES SIMPSON GRANT,

I. IN THE HOWE OF THE MEARNS

III. THE SPURNED OFFER

IV. REVELSTOKE COTTAGE

VI. THE SECRET PACKET

VIII. THE SILVER LOCKET

IX. MR. KIPPILAW, W.S.

X. ALONE IN THE WORLD