During the most recent year, Quinn Co. bought 2,800 shares of Germana-Hall Corporationcommon stock at $35, 590 shares of Barlengo Corporation stock at $45.50, and 1,000 sharesof Frumley Corporation stock at $70. At December 31, Hoover’s Online reports Germana-Hallstock at $28.13, Barlengo at $48.00, and Frumley at $63.25. Quinn does not own more than10% of the outstanding stock in any of its investments.Requirements1. Determine the cost and the fair value of the long-term investment portfolio at December 31.2. Record Quinn’s adjusting entry at December 31.3. What would Quinn report on its income statement and balance sheet at year-end for theinformation given? Ignore income taxes.
During the most recent year, Quinn Co. bought 2,800 shares of Germana-Hall Corporation
common stock at $35, 590 shares of Barlengo Corporation stock at $45.50, and 1,000 shares
of Frumley Corporation stock at $70. At December 31, Hoover’s Online reports Germana-Hall
stock at $28.13, Barlengo at $48.00, and Frumley at $63.25. Quinn does not own more than
10% of the outstanding stock in any of its investments.
Requirements
1. Determine the cost and the fair value of the long-term investment portfolio at December 31.
2. Record Quinn’s
3. What would Quinn report on its income statement and
information given? Ignore income taxes.
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