Question
On January 2, 20Y4, Whitworth Company acquired 34% of the outstanding stock of Aloof Company for $280,000. For the year ended December 31, 20Y4, Aloof
On January 2, 20Y4, Whitworth Company acquired 34% of the outstanding stock of Aloof Company for $280,000. For the year ended December 31, 20Y4, Aloof Company earned income of $73,000 and paid dividends of $22,000. On January 31 20Y5, Whitworth Company sold all of its investment in Aloof Company stock for $294,340.
Journalize the entries for Whitworth Company for the purchase of the stock, the share of Aloof income, the dividends received from Aloof Company, and the sale of the Aloof Company stock. If an amount box does not require an entry, leave it blank.
Jan. 2, 20Y4 - Purchase | CashCash DividendsIncome of Aloof CompanyInterest ReceivableInvestment in Aloof Company Stock | - Select - | - Select - |
CashCash DividendsIncome of Aloof CompanyInterest ReceivableInvestment in Aloof Company Stock | - Select - | - Select - | |
Dec. 31, 20Y4 - Income | CashCash DividendsIncome of Aloof CompanyInterest RevenueInvestment in Aloof Company Stock | - Select - | - Select - |
CashCash DividendsIncome of Aloof CompanyInterest RevenueInvestment in Aloof Company Stock | - Select - | - Select - | |
Dec. 31, 20Y4 - Dividends | CashIncome of Aloof CompanyInterest ReceivableInterest RevenueInvestment in Aloof Company Stock | - Select - | - Select - |
CashIncome of Aloof CompanyInterest ReceivableInterest RevenueInvestment in Aloof Company Stock | - Select - | - Select - | |
Jan. 31, 20Y5 - Sale | CashGain on Sale of Aloof Company StockIncome of Aloof CompanyInterest ReceivableInvestment in Aloof Company Stock | - Select - | - Select - |
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