(a) Reproduce and complete the following controlling and non-controlling interest table. Show your calculations. (b) What percentage of the voting in Son 7 Ltd will be controlled by the Daddy Ltd? (c) What percentage of the dividend declared by Son 7 Ltd will be received by the Daddy Ltd?

The following scenarios represent ownership percentages and degree of influence:   Ownership Influence I. 10% No significant influ. II. 25% No significant influ. III. 40% Significant IV 55% Control Which of the follwing statements is correct regarding external financial reporting in the above scnarios? a. Use the fair value method under scenarios I and II b. Use the equity method under scenarios II. and III c. Use the equity method under scenarios I, II and III d. Use the acquisition method under scenarios III and IV

When an investor owns 20% to 50% of the voting stock of an investee company, the investor is presumed to exercise significant influence over the investee unless there is evidence to the contrary. Describe some factors that could be evidence of significant influence? Describe some factors that could be evidence of a lack of significant influence

A merger between Minnie Corporation and Mickey Corporation is under consideration. The financial information for these firms is as follows:      Minnie Corporation Mickey Corporation   Total earnings   $1,682,000   $2,581,000   Number of shares of stock outstanding   290,000   890,000   EPS   $5.80   $2.90   P/E ratio   10X   20X   Market price per share   $58   $58     a. On a share-for-share exchange basis, what will the postmerger EPS be? (Round the final answer to 2 decimal places.)   Postmerger earnings per share          $   b. If Mickey Corporation pays a 25 percent premium over the market value of Minnie Corporation, how many shares will be issued? (Do not round intermediate calculations.)   Shares issued            shares   c. With the 25 percent premium, what will the postmerger EPS be? (Do not round intermediate calculations. Round the final answer to 2 decimal places.)   Postmerger earnings per share          $