On January 1, 2006, Finch Corporation owned a 90% interest in Nest Corporation at which time the Investment in Nest account had a balance of $350,000, which was 90% of Nest?s $370,000 in stockholders? equity and $17,000 of goodwill. During 2006, Nest had income of $35,000 and paid dividends of $3,000 on June 1 and another $3,000 on November 1. On May 1, 2006, Finch sold one-fifth of its interest in Nest for $92,000. If the ?beginning-of-the-period? sales assumption is used, the balance in the Investment in Nest account on December 31, 2006 is: $300,300. $300,880. $304,480. $306,100.

On January 1, 2006, Finch Corporation owned a 90% interest in Nest Corporation at which time the Investment in Nest account had a balance of $350,000, which was 90% of Nest?s $370,000 in stockholders? equity and $17,000 of goodwill. During 2006, Nest had income of $35,000 and paid dividends of $3,000 on June 1 and another $3,000 on November 1. On May 1, 2006, Finch sold one-fifth of its interest in Nest for $92,000. If the ?beginning-of-the-period? sales assumption is used, the balance in the Investment in Nest account on December 31, 2006 is:

$300,300.

$300,880.

$304,480.

$306,100.

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