P16-5A

aine sactiows and sho P6-SA The lollowiny securities are in frederisk Companys partfoliks of kong term available-for-sale securities at December 31, 2017 eent preseniurn Cost $52,000 1,000 shares of Willhit 1.400 shares of H te Corporation common stock utcherson Corporation common stock 54,000 33,600 1.200 shares of Downing Corporation preferred stock On December 31, 2017, the total cost of the portfolio equaled total fair value. Frederick had the following transactions related to the securities during 2018 Jan. 20 Sold all 1,000 shares of willhite Corporation common stock at $55 per share. Purchased 400 shares of $70 par value common stock of Liggett Corporation at $78 per share. Received a cash dividend of $1.15 per share on Hutcherson Corp, common stock 28 30 Feb. 8 Received cash dividends of $o 40 per share on Downing Corp. preferred stock. July 30 Sept. 6 Purchased an additional 900 shares of $10 par value common stock of Liegett Dec. 1 Received a cash dividend of $1.50 per share on Liggett Corporation common At December 31, 2018, the fair values of the securities were 18 Sold all 1,200 shares of Downing Corp. preferred stock at $27 per share Received a cash dividend of $1.00 per share on Hutcherson Corp. common stock Corporation at $82 per share stock Hutcherson Corporation common stoclk Liggett Corporation common stock $64 per share $72 per share Instructions (a) Prepare journal entries to record the transactions. (b) Post to the investment accounts. (Use T-accounts.) stment 51 Ueveulzed loes 5,00 (c) Prepare the adjusting entry at December 31. 2018 to report the portfolio at fair value. Show the balance sheet presentation at December 31, 2018, for the investment-related