Question

Rantzow-Lear Company buys and sells debt securities expecting to earn profits on short-term differences in price. The company's fiscal year ends on December 31. The following selected transactions relating to Rantzow-Lear's trading account occurred during December 2018 and the first week of 2019. 2018 Dec. 17 Purchased 180 Grocers' Supply Corporation bonds for $450,000. 28 Received interest of $5,200 from the Grocers' Supply Corporation bonds. 31 Recorded any necessary adjusting entry relating to the Grocers' Supply Corporation bonds. The market price of the bonds were $3,000 per bond. 2019 Jan. 5 sold the Grocers' Supply Corporation bonds for $513,000. Required: 1. Prepare the appropriate journal entry or entries for each transaction (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) No Date Credit Answer is not complete. General Journal December 17, 2014 Investment in Grocers' Supply bonds Cash Debit 450,000 1 450,000 5,200 December 28, 2016 Cash Investment revenue 5,200 90,000 December 31, 2016 Fair value adjustment Unrealized holding gain-NI 90,000 513,000 January 05, 2019 Cash Gain on investments Investment in Grocers' Supply bonds 63,000 450,000 90,000 January 05, 2019 Unrealized holding gain NI Fair value adjustment 90,000

the Red X clearly indicates that my answer is wrong, do not try to "help me" by continuing to give me the same answers!!!

Answer 1

Joumal $ 5200 (2) Decaz entries Cash Dr Innestment in Grocells supply bonds $5200 (4) Janos Investment in Dr $90000 perplesso Suprky bonds - Fair value $ 40000 nent (5) Janos Cash Dr. To Thuestment Loss on investment $513000 $534.800 $1800.