$13$

Part $5$ of $5$

$0\mathrm{.}66$ points

Required information

Problem $15-4$A $($Algo$)$ Recording, adjusting, and reporting stock investments with insignificant influence LO P$4$

$[$The following information applies to the questions displayed below.$]$

Rose Company had no short$-$term investments prior to this year. It had the following transactions this year involving shortterm stock investments with insignificant influence.

April $16$ Purchased $6,000$ shares of Gem Company stock at $$23\mathrm{.}25$ per share.

July $7$ Purchased $3,000$ shares of PepsiCo stock at $$49\mathrm{.}00$ per share.

July $20$ Purchased $1,500$ shares of Xerox stock at $$16\mathrm{.}00$ per share.

August $15$ Received a $$0\mathrm{.}85$ per share cash dividend on the Gem Company stock.

August $28$ Sold $3,000$ shares of Gem Company stock at $$30\mathrm{.}00$ per share.

October $1$ Received a $$1\mathrm{.}80$ per share cash dividend on the PepsiCo shares.

December $15$ Received a $$1\mathrm{.}00$ per share cash dividend on the remaining Gem Company shares.

December $31$ Received a $$1\mathrm{.}20$ per share cash dividend on the PepsiCo shares.

The year$-$end fair values per share are Gem Company, $$25\mathrm{.}50$; PepsiCo, $$46\mathrm{.}25$; and Xerox, $$13\mathrm{.}00.$

Problem $15-4$A $($Algo$)$ Part $5$

$5.$ Identify the dollar increase or decrease from Rose's short$-$term stock investments on $($a$)$ its income statement for this year and $($b$)$ the equity section of its balance sheet at this year$-$end.

$\backslash$table$[[($a$)$ Income statement for this year,Amount$],[($b$)$ The equity section of its balance sheet at this year$-$end,Increase or Decrease$]]$