Question
During 4 years, the prices of the long-term shares were increasing and decreasing. The information below lists the prices of companies X and Y. In
During 4 years, the prices of the long-term shares were increasing and decreasing. The information below lists the prices of companies X and Y. In the empty cells in the answer table, explain how these price changes affect the Balance sheet and Income Statement. Also include information about the value of the changes and the name of accounts that has been changed.
| Company x | Company Y | ||
| Dates | Number of Shares | Price per Share | Price Per Share |
| January 2020 (purchase price) | 1000 | 20 | 20 |
| December 2021 | 1000 | 30 | 15 |
| December 2022 | 1000 | 25 | 35 |
| December 2023 | 1000 | 15 | 20 |
| December 2024 | 1000 | 40 | 40 |
Accounting Policy: Valuation of Fair Value
Answer: (fill the empty cells below)
| Dates | How will the share price in that date of Company X & Y affect the Balance Sheet? | How will the share price in that date of Company X & Y affect the Income Statement |
| December 2021 | ||
| December 2022 | ||
| December 2023 | ||
| December 2024 |
Accounting Policy: Valuation cost of purchase less impairment loss
Answer: (fill empty cells below)
| Dates | How will the share price in that date of Company X & Y affect the Balance Sheet? | How will the new share price in that date of Company X & Y affect the Income Statement |
| December 2021 | ||
| December 2022 | ||
| December 2023 | ||
| December 2024 |
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Intermediate Accounting
Authors: Donald E. Kieso, Jerry J. Weygandt, And Terry D. Warfield
13th Edition
9780470374948, 470423684, 470374942, 978-0470423684
