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Ellis Transport Company acquired 1 . 3 million shares of stock in L&K Corporation at $ 5 5 per share. They are reported by Ellis

Ellis Transport Company acquired 1.3 million shares of stock in L&K Corporation at $55 per share. They are reported by Ellis at "fair
value through net income." Ellis sold 300,000 shares at $56, received a 10% stock dividend, and then later in the year sold another
300,000 shares at $54.
Hint: There is no entry for the stock dividend, but a new investment per share must be calculated for use later when the shares are
sold.
Required:
Prepare journal entries to record these transactions.
Note: If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Enter your answers
in millions rounded to 1 decimal place (i.e.,5,500,000 should be entered as 5.5).
Journal entry worksheet
Record sale of 300,000 shares.
Note: Enter debits before credits.Ellis Transport Company acquired 1.3 million shares of stock in L&K Corporation at $55 per share. They are reported by Ellis at "fair value through net income.'' Ellis sold 300,000 shares at $56, received a 10% stock dividend, and then later in the year sold another 300,000 shares at $54.
Hint: There is no entry for the stock dividend, but a new investment per share must be calculated for use later when the shares are sold.
Required:
Prepare journal entries to record these transactions.
Note: If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Enter your answers in millions rounded to 1 decimal place (i.e.,5,500,000 should be entered as 5.5).
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