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November 14 , 2008

Increase and Decrease in Investment


Oceanic Pacific Company has decided to conduct a series of experiments to determine the amount of tuna that could be caught with different crew sizes.  Explain the point of diminishing returns

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Financial Consolidation Accounting

Crane Mechanics acquired 75 percent of Downey Enterprises on March 31, 2005, for $3,645,000. Downey’s book value at that date totaled $4,000,000. Appraisal values were greater than book values for identifiable assets in the following amounts: Inventory ($300,000) and Plant and Equipment ($700,000). The purchase differential for Inventory is to be…

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