Question
On December 31, 2017, Turnball Associates owned the following securities, held as a long-term investment. The securities are not held for influence or control of
On December 31, 2017, Turnball Associates owned the following securities, held as a long-term investment. The securities are not held for influence or control of the investee.
Common Stock Shares Cost
Gehring Co. 1800 50400
Wooderson Co. 4800 33600
Kitselton Co. 1400 25200
On December 31, 2017, the total fair value of the securities was equal to its cost. In 2018, the following transactions occurred:
Aug.1Received $0.50per share cash dividend on Gehring Co. common stock.Sept.1Sold1,440 shares of Wooderson Co. common stock for cash at $6per share.Oct.1Sold720 shares of Gehring Co. common stock for cash at $31 per share.Nov.1Received $1 per share cash dividend on Kitselton Co. common stock.Dec.15Received $0.50 per share cash dividend on Gehring Co. common stock.Dec.31Received $1 per share annual cash dividend on Wooderson Co. common stock.
At December 31, the fair values per share of the common stocks were: Gehring Co. $30, Wooderson Co. $6, and Kitselton Co. $16.
Journalize the 2018 transactions and post to the account Stock Investments. (Use the T-account form.)
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Accounting Principles
Authors: Jerry Weygandt, Paul Kimmel, Donald Kieso
12th edition
1119132223, 978-1-119-0944, 1118875052, 978-1119132226, 978-1118875056
