Answered step by step
Verified Expert Solution
Question
1 Approved Answer
estion Fatema Company has the following portfolio of securities on May 31, 2019, its last reporting date. Trading Securities Hala Co. ordinary (1,000 shares) Wala
estion Fatema Company has the following portfolio of securities on May 31, 2019, its last reporting date. Trading Securities Hala Co. ordinary (1,000 shares) Wala Co. ordinary (2,000 shares) Zahra Corp. ordinary (4,000 shares) Book Value $150,000 Fair Value $ 320,000 200,000 100,000 70,000 150,000 1- In September. 21, 2019, the Hala Co. shares were sold at a price of $200 per share. 2- In addition, 2,000 shares of Fareshtah Co. common stock were acquired at $30 per share on October 1, 2019. 3- The Dec. 31, 2019, fair values were Wala $190,000, Zahra Co. $130,000 and Fareshtah Co. common $70,000. Instructions: 1- Evaluate the Portfolio on May 31, 2019 and prepare the necessary entries. (4 points) Trading Securities Hala Co. ordinary (1,000 shares) Wala Co. ordinary (2,000 shares) Zahra Corp. ordinary (4,000 shares) Book Value Fair Value 2- Prepare the necessary entries on September 21, 2019. (3 points) Trading security cash
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started