On December 31, 2017, Nameless Inc. provided you with the following information regarding its trading securities. December 31, 2017 Investments (Trading) Cost Fair Value SKN Inc. stock $ 40,000 $ 46,000 Derby Co. stock 101,000 99,500 Google Corp. stock 31,000 34,500 Total of portfolio $172,000 $ 180,000 All of the securities were purchased during 2017 and < 20% of total share of the company. During 2018, Nameless sold its Google Corp. stock for $33,200. The fair value of the stock on December 31, 2018, was: SKN Inc. stock—$47,600; Derby Co. stock—$95,400. (3a) Prepare the adjusting journal entry needed on December 31, 2017. (3b) Prepare the journal entry to record the sale of the Google Corp. stock during 2018. (3c) Prepare the adjusting journal entry needed on December 31, 2018.
On December 31, 2017, Nameless Inc. provided you with the following information regarding its trading securities.
December 31, 2017
Investments (Trading) Cost Fair Value
SKN Inc. stock $ 40,000 $ 46,000
Derby Co. stock 101,000 99,500
Google Corp. stock 31,000 34,500
Total of portfolio $172,000 $ 180,000
All of the securities were purchased during 2017 and < 20% of total share of the company.
During 2018, Nameless sold its Google Corp. stock for $33,200. The fair value of the stock on December 31, 2018, was: SKN Inc. stock—$47,600; Derby Co. stock—$95,400.
(3a) Prepare the
(3b) Prepare the journal entry to record the sale of the Google Corp. stock during 2018.
(3c) Prepare the adjusting journal entry needed on December 31, 2018.
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