(Learning Objective 1: Accounting for available-for-sale investments) Leary Co. bought 3,800 Canada shares at 38; 640 Chile...
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(Learning Objective 1: Accounting for available-for-sale investments) Leary Co.
bought 3,800 Canada shares at €38; 640 Chile shares at €47.25; and 1,500 Milan shares at
€77—all as available-for-sale investments. At December 31, Hoover’s Online reports Canada shares at €29.125, Chile at €49.25, and Milan at €69.50.
❙ Requirements 1. Determine the cost and the market value of the long-term investment portfolio at December 31.
2. Record Leary’s adjusting entry at December 31.
3. What would Leary report on its income statement and balance sheet for the information given? Make the necessary disclosures. Ignore income tax.
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Kirti Kaushal
Having experience of more than 10 years is good enough to coach my students. Currently, I am working as an active supervisor of ACCA students. In my career, I helped students in financial accounting, management accounting, cost accounting, financial reporting, taxation, and audit. I also helped students publish their articles or papers in good journals. I also helped students with thesis and objective writing.
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Related Book For 
Financial Accounting International Financial Reporting Standards
ISBN: 9780273777809
1st Global Edition
Authors: Walter T Harrison, Charles Horngren, Bill Thomas, Themin Suwardy
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