Question

the answers in blue are wrong.

Entries for Stock Investments, Dividends, and Sale of Stock Seamus Industries Inc. buys and sells investments as part of its ongoing cash management. The following investment transactions were completed during the year: Feb. 24 Acquired 2,000 shares of Tett Co. stock for $80 per share plus a $200 brokerage commission May 16 Acquired 2,000 shares of Issacson Co. stock for $40 per share plus a $100 commission July 14 Sold 500 shares of Tett Co. stock for $100 per share less a $50 brokerage commission. Aug, 12 Sold 1,000 shares of Issacson Co. stock for $34 per share less an $80 brokerage commission Oct. 31 Received dividends of $0.30 pair share on Tett Co. stock. Journalize the entries for these transactions under the fair value method. If an amount box does not require an entry, leave it blank. Feb. 24 Cash Cash May 16 Dividends Receivable Notes Receivable July 14 Dividends Receivable Gain on Sale of Investments Dividend Revenue Aug. 12 Dividend Revenue Investments-Issacson Co. Stock Dividend Revenue

Answer 1

Credit(s) solution: .: Journal Entries Date Account Tities and Explanation Seb-zu Investments - Tett Co. Stock, . cash to record shares acquired in Tett co stock with brokerage) Debit (6) $160,200 $160,200 $ $80,100 as -6 Investments - Issac on Co.Stok- - Cash to record shares aseguired in Issaicsonic. Stock with brokerage) July-in . $49,950 cash Gain on sale of investments Investments - Tett Co. SŁUGK (to record Gain on sale of 500 shares of Tett co.stock) $ 9,900 $40.050

Aug-12 cash .. $33,920 Loss on sale of Investments . . $ 6,130 . Investments - Issacsonco. Stock, (to record Loss on sale of 1,000 ... Shares of Issacson co.stock) $ 10,050 - OCE-31 Cash . $450 $450 . Dividena Revenue to record Dividends received)

Explanation: D Feb-ru - Investments -Tett co-stock = /2000 x $80)+$200 = $160,000+$200 =$160,200 2) may-16: Investments - Issacsonco.stock =(200ox $uo) +$100 = $80,000+$100 ::$80,100 3) July-146 cash = (500+ $100-$50 = $49,950 Investments - Tett 60. stock = 500 x $160,200 2000 4) Aug-12 = $ 40,050 cash 6000x$34)-888 => $33,920 Investments - Issacson.co.Stock = 1000 x $80,100 2000 -$10,050 5) Oct 31 cash : 2000 - 500) + $0.30 = $450

Hit the LIKE Button.