Journal Entry Worksheet

A. Record the purchase of 2 million preferred shares of Millwork Ventures Company for $57 million.

B. Record the receipt of semiannual interest of $2.4 million from the Kansas Abstractors bonds.

C. Record the purchase of 10% bonds of Holistic Entertainment Enterprises at their $102 million face value.

D. Record the sale of the investment in Kansas Abstractors bonds.

E. Record the purchase of 12% bonds of Household Plastics Corporation at their $70 million face value.

F. Record the purchase of U.S. Treasury bonds for $7.2 million.

G. Record the purchase of 4 million common shares of NXS Corporation for $48 million.

H. Record the sale of the Treasury bonds for $7.5 million.

I. Record the receipt of cash dividends of $3 million from the Millwork Ventures Company preferred shares.

J. Record the investment revenue.

K. Record any necessary fair value adjustment related to the Millwork Venture shares when the fair value was $27.00 per share.

L. Record any necessary fair value adjustment related to the NXS shares when the fair value was $14 per share.

M. Record the closing entry.

N. Record the sale of the NXS Corporation common shares for $47 million.

O. Record the fair value adjustment.

Amalgamated General Corporation is a consulting firm that also offers financial services through its credit division. From time to time the company buys and sells securities intending to earn profits on short-term differences in price. The following selected transactions relate to Amalgamated's investment activities during the last quarter of 2016 and the first month of 2017. The only securities held by Amalgamated at October 1 were $40 million of 10% bonds of Kansas Abstractors, Inc., purchased on May 1 at face value The companys fiscal year ends on December 31 2016 Oct. 18 Purchased 2 million preferred shares of Millwork Ventures Company for $57 million as a speculative investment to be sold under suitable circumstances 31 Received semiannual interest of $2.4 million from the Kansas Abstractors bonds Nov. 1 Purchased 10% bonds of Holistic Entertainment Enterprises at their $102 million face value, to be held until they mature in 2018. Semiannual interest is payable April 30 and October 31 1 Sold the Kansas Abstractors bonds for $37 million because rising interest rates are expected to cause their fair value to continue to fall Dec. 1 Purchased 12% bonds of Household Plastics Corporation at their $70 million face value, to be held until they mature in 2028. Semiannual interest is payable May 31 and November 30 20 Purchased U. S. Treasury bonds for $7.2 million as trading securities, hoping to earn profits on short-term differences in prices 21 Purchased 4 million common shares of NXS Corporation for $48 million as trading securities hoping to earn profits on short-term differences in prices 23 Sold the Treasury bonds for $7.5 million 29 Received cash dividends of $3 million from the Millwork Ventures Company preferred shares 31 Recorded any necessary adjusting entry(s) and closing entries relating to the investments. The market price of the Millwork Ventures Company preferred stock was $27.00 per share and $14.00 per share for the NXS Corporation common. The fair values of the bond investments were $57.1 million for Household Plastics Corporation and $18.3 million for Holistic Entertainment Enterprises. 2017 Jan. 7 Sold the NXS Corporation common shares for $47 million Required Prepare the appropriate journal entry for each transaction or event. (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).)