Answer:
$256,200
Step by Step Explanation:
Original Investment 240,000
Share of net income
30%of 76,000 = 22,800
Less cash dividend
30%of 22,000 = (6,600)
Balance, December 31, 2016 $256,200
240,000+ 22,800= 262,800
262,800 - 6,600= 256,200
Therefore the amount that would be reported for the investment on American Corporation's financial statements at December 31, 2016 is $256,200