Question text Isotope Limited acquired a 20% share in Atomic Limited for $20,000. Isotope Limited has no other investments. At the date on which it became an associate, Atomic Limited had the followin

Question text Isotope Limited acquired a 20% share in Atomic Limited for $20,000. Isotope Limited has no other investments. At the date on which it became an associate, Atomic Limited had the following equity (assumed to be at fair value): Share capital $50,000 Retained earnings $40,000 At the end of the financial year following the investment, Atomic Limited generated a profit of $6,000, assets were revalued by $4,000 and a dividend of $3,000 was paid. After applying the equity method of accounting, Isotope Limited will have the following carrying amount for the investment: (You may ignore tax for the purposes of this question)

Select one:

a. $22,000

b. $19,400

c. $27,000

d. $20,600

e. $20,000

f. $21,400

g. $20,800

h. $21,200