Journal entries to apply the market value method to short-term investments in securities.

Events related to Elston Corporation's investments of temporarily excess cash appear below. The firm classifies these investments as Securities Available for Sale.

X Date Acquired Acquisition Cost Market Value on December 31 Date Security Sold Year 4 Year 5 Selling Price A

B 10/15/Year 4 11/2/Year 4

$28,000 49,000

$25,000 55,000 $53,000 2/10/Year 5 7/15/Year 6

$24,000 57,000 Elston received no dividends on Security A. It received dividends from Security B of $1,000 on December 31. Year 4. and SI. 200 on December 31. Year 5. Prepare dated journal entries for the events related to these investments, assuming that the accounting period is the calendar year.

a. Acquisition of securities

b. Receipt of dividends

c. Revaluation on December 31

d. Sale of securities