December 27
1. Investment a/c Dr. $72,000
To Cash a/c Cr. $ 72,000.
(Investment a/c debited with the fair market value of investments)
December 31
2.Fair Value adjustment - Available for sale Dr. $1,000
To Un realised Gain equity - Cr. $1,000
( Unrealised gain accounted)
1. 2. of such securities. At December 31, these securities had a fair value of $72,000...
HelpS Prepare Krum Co.'s journal entries to record the following transactions involving its short-term investments in available for sale debt securities, all of which occurred during the current year. 3. On August 1, paid $80,000 cash to purchase Houtte's 10%, six-month debt securities ($80,000 principal), dated August 1 b. On October 30, received a check from Houtte for 90 days' interest on the debt securities in transaction a. (Use 360 days in a year Do not round your intermediate calculations.)...
Exercise 15-5 Accounting for short-term avaliable-for-sale securities LO P3 Prepare journal entries to record the following transactions involving the short-term securities investments of Krum Co., all of which occurred during year 2017. a. On August 1, paid $70,000 cash to purchase Houtte's 8% debt securities ($70,000 principal), dated July 30, 2017, and maturing January 30, 2018 (categorized as available-for-sale securities). b. On October 30, received a check from Houtte for 90 days' interest on the debt securities purchased in transaction...
Help me, please on 15-2 Stacks Co purchas is first and only purchas a purchases debt investments as trading securities at a cost of $66.000 on December 27. This is nd only purchase of such securities. At December 31, these securities had a fair value of $72,000. he December 27 entry for the purchase of debt investments. me the December 31 year-end fair value adjusting entry for the trading securities' portfolio. hare the January 3 entry when Brooks sells a...
Help me, please on 15-3 Stacks Co purchas is first and only purchas a purchases debt investments as trading securities at a cost of $66.000 on December 27. This is nd only purchase of such securities. At December 31, these securities had a fair value of $72,000. he December 27 entry for the purchase of debt investments. me the December 31 year-end fair value adjusting entry for the trading securities' portfolio. hare the January 3 entry when Brooks sells a...
Exercise 15-2 Accounting for debt investments classified as trading LO P1 Brooks Co. purchases debt investments as trading securities at a cost of $54,000 on December 27. This is its first and only purchase of such securities. At December 31, these securities had a fair value of $69,000. 1. Prepare the December 27 entry for the purchase of debt investments. 2. & 3. Prepare the December 31 year-end fair value adjusting entry for the trading securities' portfolio and the January...
Brooks Co, purchases various investments in trading securities at a cost of $58,000 on December 27, 2017. (This is its first and only purchase of such securities.) At December 31, 2017, these securities had a fair value of $68,000 1. & 3. Prepare the December 31, 2017, year-end adjusting entry for the trading securities' portfolio and the January 3, 2018, entry when Brooks sells a portion of its trading securities (that had originally cost $29,000) for $31,500. (If no entry...
Help Suve & Brooks Co. purchases debt investments as trading securities at a cost of $51,000 on December 27. This is its first and only purchase of such securities. At December 31, these securities had a fair value of $66.000 1. Prepare the December 27 entry for the purchase of debt investments 2. & 3. Prepare the December 31 year-end fair value adjusting entry for the trading securities' portfolio and the January 3 entry when Brooks sells a portion of...
2:06 PM 32% ex13.docx Prepare journal entries to record the following transactions involving the shont-term securities of Duke Co, all of which occurred during year 2013. a. On March 22, purchased 1,000 shares of RIP Company stock at $10 per share plus a $0 brokerage fee. These shares are categorized as trading securities b. On September 1, received a $1.00 per share cash dividend on the RIP Company stock parchased in c. On October 8, sold 500 shares of RIP...
QS 15-5 Multiyear fair value adjustments to trading securities LO P1 Kitty Company began operations in 2016 and maintains short-term investments in trading securities. The year-end cost and fair values for its portfolio of these investments follow. Cost $65 Fair Value $49 Portfolio of Trading Securities December 31, 2016 December 31, 2017 December 31, 2018 December 31, 2019 Prepare journal entries to record each December 31 year-end fair value adjustment for these above securities. Prepare journal entries to record each...
Exercise 15-4 Accounting for short-term held-to-maturity securities LO P2 Prepare journal entries to record the following transactions involving the short-term securities investments of Natura Co., all of which occurred during year 2017. On June 15, paid $278,000 cash to purchase Remedy’s 90-day short-term debt securities ($278,000 principal), dated June 15, that pay 5% interest (categorized as held-to-maturity securities). On September 16, received a check from Remedy in payment of the principal and 90 days' interest on the debt securities purchased...