Journal entries | |||
Date | ACCOUNT TITLES AND EXPLANATIONS | DEBIT ($) | CREDIT ($) |
September 21, 2018 | Equity Investments (1,052,000 - 784,000) | 268,000.00 | |
Unrealized Holding Gains | 268,000.00 | ||
(To record gain or loss) | |||
Retained Earnings | 1,052,000.00 | ||
Property Dividends Payable | 1,052,000.00 | ||
(To record property dividend ) | |||
October 8, 2018 | No entry | 0 | 0 |
October 23, 2018 | Property Dividends Payable | 1,052,000.00 | |
Equity investment | 1,052,000.00 | ||
(To record property dividend distribution ) | |||
Sarasota Inc. owns shares of Ivanhoe Corporation stock. At December 31, 2020, the securities were carried...
Teal Inc. owns shares of Flint Corporation stock. At December 31, 2020, the securities were carried in Teal's accounting records at their cost of $941,000, which equals their fair value. On September 21, 2021, when the fair value of the securities was $1,000,000, Teal declared a property dividend whereby the Flint securities are to be distributed on October 23, 2021, to stockholders of record on October 8, 2021. Prepare all journal entries necessary on those three dates. (Credit account titles...
Brief Exercise 15-11 Cole Inc. owns shares of Marlin Corporation stock. At December 31, 2020, the securities were carried in Cole's accounting records at their cost of $875,000, which equals their fair value. On September 21, 2021, when the fair value of the securities was $1,200,000, Cole declared a property dividend whereby the Marlin securities are to be distributed on October 23, 2021, to stockholders of record on October 8, 2021. Prepare all journal entries necessary on those three dates....
Brief Exercise 15-11
Cheyenne Inc. owns shares of Ayayai Corporation stock. At
December 31, 2017, the securities were carried in Cheyenne’s
accounting records at their cost of $979,000, which equals their
fair value. On September 21, 2018, when the fair value of the
securities was $1,092,000, Cheyenne declared a property dividend
whereby the Ayayai securities are to be distributed on October 23,
2018, to stockholders of record on October 8, 2018.
Prepare all journal entries necessary on those three dates....
Why is the 0 entry red?
Cole Inc. owns shares of Marlin Corporation stock. At December
31, 2020, the securities were carried in Cole’s accounting records
at their cost of $875,000, which equals their fair value. On
September 21, 2021, when the fair value of the securities was
$1,200,000, Cole declared a property dividend whereby the Marlin
securities are to be distributed on October 23, 2021, to
stockholders of record on October 8, 2021.
Help with the red entries ?!...
Cole Inc. owns shares of Marlin Corporation stock. At December 31, 2017, the securities were carried in Cole’s accounting records at their cost of $875,000, which equals their fair value. On September 21, 2018, when the fair value of the securities was $1,200,000, Cole declared a property dividend whereby the Marlin securities are to be distributed on October 23, 2018, to stockholders of record on October 8, 2018. Prepare all journal entries necessary on those three dates.
Brief Exercise 15-08 Sprinkle Inc. has outstanding 10,000 shares of $10 par value common stock. On July 1, 2020, Sprinkle reacquired 100 shares at $87 per share. On September 1, Sprinkle reissued 60 shares at $90 per share. On November 1, Sprinkle reissued 40 shares at $83 per share. Prepare Sprinkle's journal entries to record these transactions using the cost method. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required,...
On January 1, 2017, Sarasota Co. leased a building to Ivanhoe
Inc. The relevant information related to the lease is as
follows.
1.
The lease arrangement is for 10 years.
2.
The leased building cost $4,320,000 and was purchased for cash
on January 1, 2017.
3.
The building is depreciated on a straight-line basis. Its
estimated economic life is 50 years with no salvage value.
4.
Lease payments are $257,900 per year and are made at the end of
the...
CALCULATCH FULL SON RINTEE VEEL BACK Sarasota Company owes $170,000 plus $15,200 of accrued interest to Ivanhoe State Bank. The debt is a 10-year, 10% note. During 2017, Sarasota's business deteriorated due to a faltering regional economy. On December 31, 2017, Ivanhoe State Bank agrees to accept an old machine and cancel the entire debt. The machine has a cost of $330,000, accumulated depreciation of $181,500, and a fair value of $152,000. Prepare journal entries for Sarasota Company and Ivanhoe...
Exercise 9-9 Sarasota Corporation, a Canadian-based international company that follows IFRS, has the following securities in its portfolio of investments acquired for trading purposes and accounted for using the FV-NI method on December 31, 2019: Carrying Amount (before Investments adjustment) Fair Value 2,000 shares of David Jones Inc., common $91,000 $87,000 5,200 shares of Hearn Corp., common 171,600 164,500 420 shares of Alessandro Inc., preferred 63,000 64,900 $325,600 $316,100 In 2020, Sarasota completed the following securities transactions: Mar. 1 Sold...
Sarasota Company commonly issues long-term notes payable to its various lenders. Sarasota has had a pretty good credit rating such that its effective borrowing rate is quite low (less than 8% on an annual basis). Sarasota has elected to use the fair value option for the long-term notes issued to Barclay's Bank and has the following data related to the carrying and fair value for these notes. Any changes in fair value are due to changes in market rates, not...