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Prepare any entries that Seely Company should make in accounting for its investment in Otto stock during the year. 3. What is the balance of the Stock Investments account on Seely Company's books at the end of the year? (b) Repeat requirement (a) above except assume that the 42, shares represent a 25% interest in Otto Corporation.
Assume the average and marginal income tax rate for and was 30%; however, during tax legislation was passed to raise the tax rate to 40% beginning in The 40% rate remained in effect through the years and Both the accounting and income tax periods end December
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