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Information: On 1 January 2024, Hunger Games Ltd acquired 200,000 shares in Divergent Ltd at a price of $4 each. The transaction costs for brokerage
Information: On 1 January 2024, Hunger Games Ltd acquired 200,000 shares in Divergent Ltd at a price of $4 each. The transaction costs for brokerage was $5,000 paid in cash. On 31 December 2024 (Balance Date), the closing market price for a share in Divergent Ltd is $5. The 'Investment in Divergent Ltd shares' is held for trading. Statement: Therefore, on 31 December 2024, Hunger Games Ltd will provide the following journal entry to account for the change in the fair value of 'Investment in Divergent Ltd shares': Dr ______________________ Cr ______________________
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