Financial Accounting, Student Value Edition Plus MyLab Accounting with Pearson eText -- Access Card Package (12th Edition)
12th Edition
ISBN: 9780134833156
Author: C. William Thomas, Wendy M. Tietz, Walter T. Harrison Jr.
Publisher: PEARSON
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Chapter E, Problem E.43BP
1.
To determine
To Prepare: T-accounts for cash, investment in equity securities, dividend revenue and unrealized gain (loss) on equity securities.
2.
To determine
To Prepare: The
3.
To determine
To Report: The short-term investments of Company H
4.
To determine
To Report: The amount that would appear in the income statement of Company H balance sheet at December 31, 2018.
5.
To determine
To Prepare: The journal entry to record the sale made on equity securities by the Company H on January 14, 2019.
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2. In January 2018, the management of ABC Company concludes that it has sufficient cash to purchase some short-term investments in bonds and shares. During the year, the following transactions occurred.
Feb. 1 Purchased 500 shares of DET shares for 45,000TL.
Mar. 1 Purchased 600 shares of STL shares for 30,000TL.
Mar.25 DET declared 0.90TL dividends per share payable on September 1.
June 1 Purchased 40 1,000TL 9% CTN bonds for 60,000TL. Interest is payable semiannually on June 1 and November 1.
July 1 Sold 200 shares of DET and collected totally 19,880TL.
Aug. 1 Received a 1.5TL per share cash dividend on the STL shares.
Sept. 1 Received cash dividend on DET shares.
Oct. 1 Sold 20 CTN bonds and collected totally 25,750TL.
Nov. 1 Received the semiannual interest on CTN bonds.
Required: Journalize and post the transactions.
D1.
Account
In January 2022, the management of Ivanhoe Company concludes that it has sufficient cash to permit some short-term investments in debt and equity securities. During the year, the following transactions occurred. Feb. 1 Mar. 1 Apr. 1 July 1 Aug. 1 Sept. 1 Oct. 1 Oct. 1 Purchased 800 shares of Muninger common stock for $40,000. Purchased 1,000 shares of Tatman common stock for $25,000. Purchased 70 of $1,100, 8% Yoakem bonds for $77,000. Interest is payable semiannually on April 1 and October 1. Received a cash dividend of $0.60 per share on the Muninger common stock. Sold 266 shares of Muninger common stock at $60 per share. Received a $2 per share cash dividend on the Tatman common stock. Received the semiannual interest on the Yoakem bonds. Sold the Yoakem bonds for $75,300. At December 31, the fair value of the Muninger and Tatman common stocks were $51 and $24 per share respectively. These stock investments by Ivanhoe Company provide less than a 20% ownership interest.…
Holly Company invests its excess cash in marketable securities. At the beginning of 2010 it had the following portfolio of investments in available-for-sale securities:
12/31/09
Security Cost Fair Value
400 shares of I Company common stock $ 8,400 $ 9,400
700 shares of O Company common stock 23,100 21,700
Totals $31,500 $31,100
During 2010, the following transactions occurred:
Mar. 31 Purchased U Company 8% bonds with a face value of $10,000 for $10,000 plus accrued interest; interest is payable on the bonds each June 30 and December 31
May 17 Sold 200 shares of O Company common stock for $30 per share…
Chapter E Solutions
Financial Accounting, Student Value Edition Plus MyLab Accounting with Pearson eText -- Access Card Package (12th Edition)
Ch. E - Prob. 1QCCh. E - Rolling Hills Productions held investments in...Ch. E - Prob. 3QCCh. E - Crandall's investment is in less than 2% of...Ch. E - Dumois Corporation purchased 1,500 shares of...Ch. E - Prob. 6QCCh. E - Use the Dumois Corporation data in question 5....Ch. E - Prob. 8QCCh. E - Prob. 9QCCh. E - Prob. 10QC
Ch. E - Prob. E.1SCh. E - (Learning Objective 2: Account for investments in...Ch. E - Prob. E.3SCh. E - Prob. E.4SCh. E - Prob. E.5SCh. E - Prob. E.6SCh. E - Prob. E.7SCh. E - Prob. E.8SCh. E - Prob. E.9SCh. E - Prob. E.10SCh. E - (Learning Objective 5: Record a held-to-maturity...Ch. E - Prob. E.12SCh. E - (Learning Objective 5: Calculate and record...Ch. E - Prob. E.14SCh. E - Prob. E.15SCh. E - Prob. E.16SCh. E - Prob. E.17AECh. E - (Learning Objective 2: Record transactions for...Ch. E - (Learning Objective 2: Analyze and report...Ch. E - Prob. E.20AECh. E - Prob. E.21AECh. E - Prob. E.22AECh. E - Prob. E.23AECh. E - Prob. E.24BECh. E - Prob. E.25BECh. E - (Learning Objective 2: Analyze and report...Ch. E - (Learning Objective 3: Account for transactions...Ch. E - Prob. E.28BECh. E - Prob. E.29BECh. E - Prob. E.30BECh. E - Prob. E.31QCh. E - Prob. E.32QCh. E - Prob. E.33QCh. E - Prob. E.34QCh. E - Prob. E.35QCh. E - Dividends received on an equity-method investment...Ch. E - Prob. E.37QCh. E - Prob. E.38QCh. E - Prob. E.39APCh. E - (Learning Objectives 2, 3: Analyze and report...Ch. E - (Learning Objectives 2, 3: Analyze and report...Ch. E - Prob. E.42APCh. E - Prob. E.43BPCh. E - LO 2, 3 (Learning Objectives 2, 3: Analyze and...Ch. E - Prob. E.45BPCh. E - Prob. E.46BPCh. E - Prob. E.47DC
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