Entries for Equity Investments: Less than 20% Ownership The following equity investment transactions were completed by Vintage Company during a recent year: Apr. 10. Purchased 3,500 shares of Delew Company's common stock for a price of $51.85 per share plus a brokerage commission of $525. Delew Company has 265,000 shares of common stock outstanding. July 8. Received a quarterly dividend of $0.60 per share on the Delew Company investment. Sept. 10. Sold 2,300 shares for a price of $46 per share less a brokerage commission of $290. Dec. 31. At the end of the accounting period, the fair value of the remaining 1,200 shares of Delew Company's stock was $51.50 per share. Journalize the entries for these transactions. If an amount box does not require an entry, leave it blank. If required, round the final answers to the nearest dollar. Apr. 10 - Purchase July 8 - Dividend Sept. 10 - Sale Dec. 31 II II

Entries for Equity Investments: Less than 20% Ownership The following equity investment transactions were completed by Vintage Company during a recent year: Apr. 10. Purchased 3,500 shares of Delew Company's common stock for a price of $51.85 per share plus a brokerage commission of $525. Delew Company has 265,000 shares of common stock outstanding. July 8. Received a quarterly dividend of $0.60 per share on the Delew Company investment. Sept. 10. Sold 2,300 shares for a price of $46 per share less a brokerage commission of $290. Dec. 31. At the end of the accounting period, the fair value of the remaining 1,200 shares of Delew Company's stock was $51.50 per share. Journalize the entries for these transactions. If an amount box does not require an entry, leave it blank. If required, round the final answers to the nearest dollar. Apr. 10 - Purchase July 8 - Dividend Sept. 10 - Sale Dec. 31 II II

Corporate Financial Accounting

14th Edition

ISBN:9781305653535

Author:Carl Warren, James M. Reeve, Jonathan Duchac

Publisher:Carl Warren, James M. Reeve, Jonathan Duchac

Chapter12: Corporations: Organization, Stock Transactions, And Dividends

Section: Chapter Questions

Problem 4COP: Selected transactions completed by Equinox Products Inc. during the fiscal year ended December 31,...

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Selected transactions completed by Equinox Products Inc. during the fiscal year ended December 31, 2016, were as follows: a. Issued 15,000 shares of 20 par common stock at 30, receiving cash. b. Issued 4, 000 shares of 80 par preferred 5% stock at 100, receiving cash. c. Issued 500,000 of 10-year, 5% bonds at 104, with interest payable semiannually. d. Declared a quarterly dividend of 0.50 per share on common stock and 1.00 per share on preferred stock. On the date of record, 100,000 shares of common stock were outstanding, no treasury shares were held, and 20,000 shares of preferred stock were outstanding. e. Paid the cash dividends declared in (d). f. Purchased 7,500 shares of Solstice Corp. at 40 per share, plus a 150 brokerage commission. The investment is classified as an available-for-sale investment. g. Purchased 8,000 shares of treasury common stock at 33 per share. h. Purchased 40,000 shares of Pinkberry Co. stock directly from the founders for 24 per share. Pinkberry has 125,000 shares issued and outstanding. Equinox Products Inc. treated the investment as an equity method investment. i. Declared a 1.00 quarterly cash dividend per share on preferred stock. On the date of record, 20,000 shares of preferred stock had been issued. j. Paid the cash dividends to the preferred stockholders. k. Received 27,500 dividend from Pinkberry Co. investment in (h). l. Purchased 90,000 of Dream Inc. 10-year, 5% bonds, directly from the issuing company, at their face amount plus accrued interest of 37 5. The bonds are classified as a held-to-maturity long -term investment. m. Sold, at 38 per share, 2,600 shares of treasury common stock purchased in (g). n. Received a dividend of 0 .60 per share from the Solstice Corp. investment in (f). o. Sold 1,000 shares of Solstice Corp. at 45, including commission. p. Recorded the payment of semiannual interest on the bonds issue d in (c) and the amortization of the premium for six months. The amortization is determined using the straight-line method . q. Accrued interest for three months on the Dream Inc. bonds purchased in (I). r. Pinkberry Co. recorded total earnings of 240 ,000. Equinox Products recorded equity earnings for its share of Pinkberry Co. net income. s. The fair value for Solstice Corp. stock was 39. 02 per share on December 31, 2016. The investment is adjusted to fair value , using a valuation allowance account. Assume Valuation Allowance for Available-for-Sale Investments h ad a beginning balance of zero. Instructions 1. Journalize the selected transactions. 2. After all of the transaction s for the year ended December 31, 201 6, had been poste d [including the transactions recorded in part (1) and all adjusting entries), the data that follows were taken from the records of Equinox Products Inc. a. Prepare a multiple-step in come statement for the year ended December 31, 201 6, concluding with earnings per share . In computing earnings per share, assume that the average number of common shares outstanding was 100,000 and preferred dividends were 100,000. ( Round earnings per share to the nearest cent.) b. Prepare a retained earnings statement for the year ended December 31, 20 6. c. Prepare a balance sheet in report form as of December 31, 2016.
Entries for investment in stock, receipt of dividends, and sale of sharesThe following equity investment transactions were completed byRomero Company during a recent year: Apr. 10. Purchased 5,000 shares of Dixon Company for a price of $25 pershare plus a brokerage commission of $75.July 8. Received a quarterly dividend of $0.60 per share on the Dixon Company investment.Sept 10. Sold 2,000 shares for a price of $22 per share less a brokeragecommission of $120. Journalize the entries for these transactions.
Entries for Equity Investments: Less than 20% Ownership The following equity investment transactions were completed by Vintage Company during a recent year: Apr. 10. Purchased 1,700 shares of Delew Company’s common stock for a price of $63.5 per share plus a brokerage commission of $850. Delew Company has 275,000 shares of common stock outstanding. July 8. Received a quarterly dividend of $0.40 per share on the Delew Company investment. Sept. 10. Sold 1,100 shares for a price of $57 per share less a brokerage commission of $480. Dec. 31. At the end of the accounting period, the fair value of the remaining 600 shares of Delew Company’s stock was $63.50 per share. Journalize the entries for these transactions. If an amount box does not require an entry, leave it blank. If required, round the final answers to the nearest dollar. needing help with part D
Entries for Equity Investments: Less than 20% Ownership The following equity investment transactions were completed by Vintage Company during a recent year: Apr. 10. Purchased 11,000 shares of Delew Company’s common stock for a price of $60 per share plus a brokerage commission of $220. Delew Company has 250,000 shares of common stock outstanding. July 8. Received a quarterly dividend of $0.85 per share on the Delew Company investment. Sept. 10. Sold 3,000 shares for a price of $54 per share less a brokerage commission of $90. Dec. 31. At the end of the accounting period, the fair value of the remaining 8,000 shares of Delew Company’s stock was $59.90 per share. Journalize the entries for these transactions. If an amount box does not require an entry, leave it blank. If required, round the final answers to the nearest dollar.
Entries for Investment in Stock, Receipt of Dividends, and Sale of Shares The following equity investment transactions were completed by Romero Company during a recent year: Apr. 10. Purchased 1,700 shares of Dixon Company for a price of $45.75 per share plus a brokerage commission of $425. July 8. Received a quarterly dividend of $0.45 per share on the Dixon Company investment. Sept. 10. Sold 1,100 shares for a price of $41 per share less a brokerage commission of $240. Journalize the entries for these transactions. If required, round the final answers to the nearest dollar. For a compound transaction, if an amount box does not require an entry, leave it blank. Apr. 10 - Purchase fill in the blank 2 fill in the blank 4 July 8 - Dividend fill in the blank 6 fill in the blank 8 Sept. 10 - Sale fill in the blank 10 fill in the blank 11 fill in the blank 13 fill in the blank 14 fill in the blank 16 fill in the blank 17
Entries for Investment in Stock, Receipt of Dividends, and Sale of Shares The following equity investment transactions were completed by Romero Company during a recent year: Apr. 10. Purchased 1,700 shares of Dixon Company for a price of $45.75 per share plus a brokerage commission of $425. July 8. Received a quarterly dividend of $0.45 per share on the Dixon Company investment. Sept. 10. Sold 1,100 shares for a price of $41 per share less a brokerage commission of $240. Journalize the entries for these transactions. If required, round the final answers to the nearest dollar. For a compound transaction, if an amount box does not require an entry, leave it blank. Apr. 10 - Purchase fill in the blank 2 fill in the blank 4 July 8 - Dividend fill in the blank 6 fill in the blank 8 Sept. 10 - Sale fill in the blank 10 fill in the blank 11 fill in the blank 13 fill in the blank 14
Entries for Investment in Stock, Receipt of Dividends, and Sale of Shares The following equity investment transactions were completed by Romero Company during a recent year: Apr. 10. July 8. Purchased 1,800 shares of Dixon Company for a price of $57.75 per share plus a brokerage commission of $450. Received a quarterly dividend of $0.35 per share on the Dixon Company investment. Sept. 10. Sold 1,200 shares for a price of $52 per share less a brokerage commission of $250. Journalize the entries for these transactions. If required, round the final answers to the nearest dollar. For a compound transaction, if an amount box does not require an entry, leave it blank. Apr. 10 - Purchase Investments-Dixon Company Stock Cash ✓ K July 8 Dividend Cash ✓ Dividend Revenue Sept. 10 Sale Cash ✓ Loss on Sale of Investments Investments-Dixon Company Stock ✓
The following equity investment transactions were completed by Romero Company during a recent year: Apr. 10. Purchased 2,800 shares of Dixon Company for a price of $61.5 per share plus a brokerage commission of $1,400. July 8. Received a quarterly dividend of $0.7 per share on the Dixon Company investment. Sept. 10. Sold 1,900 shares for a price of $55 per share less a brokerage commission of $780. Journalize the entries for these transactions. If required, round the final answers to the nearest dollar. For a compound transaction, if an amount box does not require an entry, leave it blank. Apr. 10 - Purchase July 8 - Dividend Sept. 10 - Sale
Journalize the entries to record the following selected equity investment transactions completed by Flurry Company during the current year. Flurry's purchase represents less than 20% of the total outstanding Braxter Co. stock. Feb. 2 Purchased for cash 500 shares of Braxter Co. stock for $34 per share plus a $250 brokerage commission. Apr. 16 Received dividends of $0.35 per share on Braxter Co. stock. June 17 Sold 100 shares of Braxter Co. stock for $40 per share less a $100 brokerage commission. If an amount box does not require an entry, leave it blank. Feb. 2 Apr. 16 June 17 000
Journalize the entries to record the following selected equity investment transactions completed by Flurry Company during the current year. Flurry's purchase represents less than 20% of the total outstanding Braxter Co. stock. Feb. 2 Purchased for cash 500 shares of Braxter Co. stock for $34 per share plus a $250 brokerage commission. Apr. 16 Received dividends of $0.35 per share on Braxter Co. stock. June 17 Sold 100 shares of Braxter Co. stock for $40 per share less a $100 brokerage commission.
Fair Value Journal Entries, Available-for-Sale Investments The investments of Steelers Inc. include a single investment: 8,100 shares of Bengals Inc. common stock purchased on September 12, Year 1, for $13 per share including brokerage commission. These shares were classified as available-for-sale securities. As of the December 31, Year 1, balance sheet date, the share price declined to $10 per share. CashCash DividendsInterest ReceivableInvestments-Bengals Inc. StockRetained EarningsUnrealized Gain (Loss) on Available-for-Sale InvestmentsValuation Allowance for Available-for-Sale Investme a. Journalize the entries to acquire the investment on September 12 and record the adjustment to fair value on December 31, Year 1. Year 1 Sept. 12 fill in the blank fb2219094fa204f_2fill in the blank fb2219094fa204f_4Year 1 Dec. 31 fill in the blank fb2219094fa204f_6fill in the blank fb2219094fa204f_8b. How is the unrealized gain or loss for available-for-sale investments disclosed on the financial…
Journalizing equity investment transactions; less than 20% ownershipThe following equity investment transactions were completed by Vintage Company during a recent year:DateTransactionApr. 10.Purchased 11,000 shares of Delew Companys common stock for a price of $50 per share. Delew Company has 250,000 shares of common stock outstanding.July 8.Received a quarterly dividend of $0.80 per share on the Delew Company investment.Sept. 10.Sold 4,000 shares for a price of $45 per share.Dec. 31.At the end of the accounting period, the fair value of the remaining 7,000 shares of Delew Companys stock was $47 per share.Journalize the entries for these transactions. If an amount box does not require an entry, leave it blank.DateAccountDebitCreditApr. 10July 8Sept. 10Dec. 31