Question
Falcon Wholesalers purchased equity securities during 2016 and 2017 that it classified as trading securities.It had not purchased equity securities prior to 2016, and has
Falcon Wholesalers purchased equity securities during 2016 and 2017 that it classified as trading securities.It had not purchased equity securities prior to 2016, and has purchased no other equity securities besides the following:
PurchasePurchaseFair ValueFair ValueDate Selling
SecurityDate Price12/31/1612/31/17SoldPrice
112/3/16$20,000 $22,000 N/A1/3/17$21,000
212/10/1624,00018,000N/A1/7/17 20,000
312/4/1716,000N/A19,000 1/9/18 19,000
412/13/1733,000N/A7,0001/8/18 42,000
Prepare all necessary journal entries for 2016 and 2017 related to these securities.
Answer:
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Intermediate Accounting
Authors: Donald E. Kieso, Jerry J. Weygandt, Terry D. Warfiel
17th edition
1119503663, 1119571480, 1-119-50368-2, 111950368X, 978-1119503668
