Haris Company has the following portfolio of securities on March 31, 2018, its last reporting date.

Trading Securities

Book Value

Fair Value

Derastia Co. ordinary (1,000 shares)

$ 150,000

$ 320,000

Salfet Co. ordinary (2,000 shares)

200,000

70,000

Sqaqa Corp. ordinary (4,000 shares)

100,000

150,000

1-In August. 21, 2018, the Derastia Co. shares were sold at a price of $500 per share.

2-In addition, 2,000 shares of Mesha Co. common stock were acquired at $30 per share on October 1, 2018.

3-The Dec. 31, 2018, fair values were Salfet $190,000, Saqaqa Co. $130,000 and Mesha Co. common $70,000.

Instructions:

1-Evaluate the Portfolio on March 31, 2018, and prepare the necessary entries. (3 points)

2-Prepare the necessary entries on August 21, 2018. (2 points)

3-Prepare the necessary entries on October 1, 2018. (2 points)

4-Evaluate the Portfolio on Dec. 31, 2018, and prepare the necessary entries. (3 points)