Question

Question Help E15-12 (similar to) Trader Investments completed the following investment transactions during 2018 1 (Click the icon to view the transactions) Read the requirements Requirement 1. Joumalize Trader's investment transactions Explanations are not requiredRecord debts first, then credits. Exclude explanations from ournal entries. If no entry required, select "No entry required" on the first line of the Accounts column and leave the remaining cells blank.) Jan. 14 Purchased 1.200 shares of Tycon stock, paying 541 per share. The investment represents 3% ownership in Tycon's voting stock. Trader does not have significant influence over Tycon. Trader intends to hold the investment for the indefinite future. Date Accounts Debit Credit Jan. 14 Choose from any list or enter any number in the input fields and then click Check Answer 5 parts

Answer 1

1.

Date		DR	CR
14/01/18	Investment in Tycon shares	49,200
	Bank		49,200
	( Being purchased the Tycon shares 1200 Shares @ 41/Shares)
22/08/18	Bank	1,032
	Dividend Received		1,032
	(Being Dividend received for 1200 Tycon shares @.86/Share)
31/08/18	Fair value Adjustment – OCI	3,600
	Investment in Tycon shares		3,600
	(Being 1200 Tycon shares Adjusted as market value decreased by $3 Per share)

2

Abstract Of balance sheet as 31-12-2018
ASSETS SIDE
Investmentss
Investments in Tycon shares	45,600
EQUITY & LIABILITY SIDE
Equity & Reserves
Retained Earning	1,032
Other comprehensive income	-3,600

3.

Abstract of Profit & Loss Account for the period ending 31-12-2018
Credit side
Other Revenue
Dividend Received	1,032