APPENDIX H 1. On August 1, Basil Company buys 2,000 shares (AN 8% OWNERSHIP INTEREST) of stock for $61,500 cash. On December 1, the stock investments are sold journal entries to Zin go common record for the purchase and sale of the common stock? a. Aug. 1 Cash 61,500 71,000 61,500 61,500 Stock Investments Dec. 1 Cash Stock Investments Gain on Sale of Stock Investments 9,500 61,500 61,500 b. Aug. 1 Stock Investments 61,500 71,000 61,500 71,000 Dec. 1 Cash Stock Investments Gain on Sale of Stock Investments 9,500 61,500 60,000 c. Aug 1 Stock Investments Cash Dec. 1 Stock Investment 9,000 Gain on Sale of Stock Investments Stock Investments Cash d. Aug. 1 Cash 61,500 71,000 61500 61,500 Dec 1 Stock Investments Gain on Sale of Stock Investments 9,500 Buford Industries owns 40% of Appalachian Company's common stock. For the current year, Appalachian reports net income of $250,000 and declares and pays a $70,000 cash dividend. Which of the following correctly presents the journal entries to record Buford's 2. equity in Appalachian net income and the receipt of dividends from Appalachian? a. Dec. 31 Stock Investments Revenue from Stock Investments Stock Investments Revenue from Stock Investments Stock Investments Revenue from Stock Investments Stock Investments Cash 100,000 28,000 100,000 70,000 72,000 100,000 28,000 100,000 28,000 100,000 70,000 72,000 100,000 28,000 Dec. 31 Cash b. Dec. 31 Stock Investments Dec. 31 Cash c. Dec. 31Stock Investments d. Dec. 31 Revenue from Stock Investments Dec. 31 Stock Investments APPENDIX H 1. On August 1, Basil Company buys 2,000 shares (AN 8% OWNERSHIP INTEREST) of stock for $61,500 cash. On December 1, the stock investments are sold journal entries to Zin go common record for the purchase and sale of the common stock? a. Aug. 1 Cash 61,500 71,000 61,500 61,500 Stock Investments Dec. 1 Cash Stock Investments Gain on Sale of Stock Investments 9,500 61,500 61,500 b. Aug. 1 Stock Investments 61,500 71,000 61,500 71,000 Dec. 1 Cash Stock Investments Gain on Sale of Stock Investments 9,500 61,500 60,000 c. Aug 1 Stock Investments Cash Dec. 1 Stock Investment 9,000 Gain on Sale of Stock Investments Stock Investments Cash d. Aug. 1 Cash 61,500 71,000 61500 61,500 Dec 1 Stock Investments Gain on Sale of Stock Investments 9,500 Buford Industries owns 40% of Appalachian Company's common stock. For the current year, Appalachian reports net income of $250,000 and declares and pays a $70,000 cash dividend. Which of the following correctly presents the journal entries to record Buford's 2. equity in Appalachian net income and the receipt of dividends from Appalachian? a. Dec. 31 Stock Investments Revenue from Stock Investments Stock Investments Revenue from Stock Investments Stock Investments Revenue from Stock Investments Stock Investments Cash 100,000 28,000 100,000 70,000 72,000 100,000 28,000 100,000 28,000 100,000 70,000 72,000 100,000 28,000 Dec. 31 Cash b. Dec. 31 Stock Investments Dec. 31 Cash c. Dec. 31Stock Investments d. Dec. 31 Revenue from Stock Investments Dec. 31 Stock Investments