Question

Korman Company has the following securities in its portfolio of equity securities on December 31, 2018:

       Cost       Fair Value
5,000 shares of Thomas Corp., Common       $152,000       $140,000
10,000 shares of Gant, Common       182,000       190,100
       $334,000       $330,100

All of the securities had been purchased in 2018. In 2019, Korman completed the following securities transactions:

March 1       Sold 5,000 shares of Thomas Corp., Common @ $30.90 less fees of $1,500.
April 1       Bought 610 shares of Werth Stores, Common @ $47 plus fees of $500.

The Korman Company portfolio ofequity securities appeared as follows on December 31, 2019:

       Cost       Fair Value
10,000 shares of Gant, Common       $182,000       $193,000
610 shares of Werth Stores, Common       29,170       27,120
       $211,170       $220,120
Part 2
Prepare the general journal entry for Korman Company for the sale of the Thomas Corp. stock. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.)

Date   Account Titles and Explanation   Debit   Credit
3-1-19     


     


     

Answer 1