Entries for Stock Investments, Dividends, and Sale of Stock Yerbury Corp. manufactures construction equipment. Journalize the entries to record the following selected equity investment transactions completed by Yerbury during a recent year: Feb. 2 Purchased for cash 1,550 shares of Wong Inc. stock for $37 per share plus a $775 brokerage commission. Mar. 16 Received dividends of $0.30 per share on Wong Inc. stock. June 7 Purchased 900 shares of Wong Inc. stock for $45 per share plus a $450 brokerage commission. July 26 Sold 1,800 shares of Wong Inc. stock for $49 per share less a $900 brokerage commission. Yerbury assumes that the first investments purchased are the first investments sold. Sept. 25 Received dividends of $0.40 per share on Wong Inc. stock. In your computations, round per share amounts to two decimal places. When required, round final answers to the nearest dollar. For a compound transaction, if an amount box does not require an entry, leave it blank. Feb. 2 Mar. 16 June 7 July 26

Entries for Stock Investments, Dividends, and Sale of Stock Yerbury Corp. manufactures construction equipment. Journalize the entries to record the following selected equity investment transactions completed by Yerbury during a recent year: Feb. 2 Purchased for cash 1,550 shares of Wong Inc. stock for $37 per share plus a $775 brokerage commission. Mar. 16 Received dividends of $0.30 per share on Wong Inc. stock. June 7 Purchased 900 shares of Wong Inc. stock for $45 per share plus a $450 brokerage commission. July 26 Sold 1,800 shares of Wong Inc. stock for $49 per share less a $900 brokerage commission. Yerbury assumes that the first investments purchased are the first investments sold. Sept. 25 Received dividends of $0.40 per share on Wong Inc. stock. In your computations, round per share amounts to two decimal places. When required, round final answers to the nearest dollar. For a compound transaction, if an amount box does not require an entry, leave it blank. Feb. 2 Mar. 16 June 7 July 26

Financial Accounting

15th Edition

ISBN:9781337272124

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

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

Chapter15: Investments And Fair Value Accounting

Section: Chapter Questions

Problem 8E: Yerbury Corp. manufactures construction equipment. Journalize the entries to record the following...

See similar textbooks

Similar questions

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 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 Stock Investments, Dividends, and Sale of Stock Yerbury Corp. manufactures construction equipment. Journalize the entries to record the following selected equity investment transactions completed by Yerbury during a recent year: Feb. 2 Purchased for cash 550 shares of Wong Inc. stock for $41 per share plus a $275 brokerage commission. Mar. 16 Received dividends of $0.20 per share on Wong Inc. stock. June 7 Purchased 350 shares of Wong Inc. stock for $53 per share plus a $175 brokerage commission. July 26 Sold 600 shares of Wong Inc. stock for $57 per share less a $300 brokerage commission. Yerbury assumes that the first investments purchased are the first investments sold. Sept. 25 Received dividends of $0.30 per share on Wong Inc. stock. In your computations, round per share amounts to two decimal places. When required, round final answers to the nearest dollar. For a compound transaction, if an amount box does not require an entry, leave it blank.…
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 Stock Investments, Dividends, and Sale of Stock 1. EX.15-01 Yerbury Corp. manufactures construction equipment. 2. EX.15-02 Journalize the entries to record the following selected equity investment transactions completed by Yerbury during a recent year: 3. EX.15-03 Feb. 2 Purchased for cash 800 shares of Wong Inc. stock for $36 per share plus a $400 brokerage commission. Mar. 16 Received dividends of $0.30 per share on Wong Inc. stock. 4. EX.15-06 June 7 Purchased 600 shares of Wong Inc. stock for $46 per share plus a $300 brokerage commission. 5. EX.15-08.ALGO July 26 Sold 900 shares of Wong Inc. stock for $51 per share less a $450 brokerage commission. Yerbury assumes that the first investments purchased are the first investments sold. 6. EX.15-11.ALGO Sept. 25 Received dividends of $0.40 per share on Wong Inc. stock. 7. EX.15-14.ALGO In your computations, round per share amounts to two decimal places. When required, round final answers to the nearest dollar. For a…
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 ✓
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.
Journalize the entries to record the following selected equity investment transactions completed by Perry Company during the current year. Perry accounts for this investment using the cost method. Feb. 2 Purchased for cash 900 shares of Dexter Co. stock for $54 per share plus a $450 brokerage commission. This represents a less than 10% ownership interest in the company. Apr. 16 Received dividends of $0.25 per share on Dexter Co. stock. June 17 Sold 200 shares of Dexter Co. stock for $70 per share less a $500 brokerage commission. Aug. 19 Purchased 600 shares of Dexter Co. stock for $65 per share plus a $300 brokerage commission. Nov. 14 Received dividends of $0.30 per share on Dexter Co. stock.
Journalize the entries to record the following selected equity investment transactions completed by Perry Company during the current year. Perry accounts for this investment using the cost method. Feb. 2 Purchased for cash 900 shares of Dexter Co. stock for $54 per share plus a $450 brokerage commission. This represents a less than 10% ownership interest in the company. Apr. 16 Received dividends of $0.25 per share on Dexter Co. stock. June 17 Sold 200 shares of Dexter Co. stock for $70 per share less a $500 brokerage commission. Aug. 19 Purchased 600 shares of Dexter Co. stock for $65 per share plus a $300 brokerage commission. Nov. 14 Received dividends of $0.30 per share on Dexter Co. stock. If an amount box does not require an entry, leave it blank. Feb. 2 fill in the blank 2 fill in the blank 4 Apr. 16 fill in the blank 6 fill in the blank 8 June 17 fill in the blank 10 fill in the blank 11 fill in the blank 13 fill in the…
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
Prepare journal entries to record the following investment-related transactions of a company for its first year of operations: On May 4, the company purchased 600 shares of Orbital Company Stock at $140 per share as a short-term investment in an available-for-sale security. On July 1, received a $2.50 per share cash dividend on the Orbital Company stock purchased in transaction (a). On September 15, sold 250 shares of Orbital Company stock purchased in transaction (a) for $85 per share On October 15, sold 100 shares of Orbital Company stock purchased in transaction (a) for $185 per share