Highlight, Inc., owns all outstanding stock of Kiort Corporation. The two companies report the following balances for the year ending December 31, 2011:
|
Highlight |
Kiort |
|
|
Revenues and interest income |
$(670,000) |
$(390,000) |
|
Operating and interest expense |
540,000 |
221,000 |
|
Other gains and losses |
(120,000) |
(32,000) |
|
Net income |
$(250,000) |
$(201,000) |
a. December 31, 2010?
b. December 31, 2012?