Pride, Inc. owns 80% of Simba, Inc.’s outstanding common stock. Simba, in turn, owns 10% of Pride’s outstanding common stock. What percentage of the common stock cash dividends declared by the individual companies should be reported as dividends declared in the consolidated financial statements?
|
Dividends declared by Pride |
Dividends declared by Simba |
|
|
a. |
90% |
0% |
|
b. |
90% |
20% |
|
c. |
100% |
0% |
|
d. |
100% |
20% |