NO Financial Statement Presentation of Equity Investment Ch pe of trading ve December , 2019 Per Shar Com 2.000 shares 511 316 5.000 hrs 19 4000 Perons Car endy her sl2011. Kennedy's portfolio of agische Parc Clay Per Com 3.000 shares 14 523 4000 shares 11 2000 has 15 25 year 2100, Kennedy Company changed the of heatheures were being for perse Company Company 23 stions bol bereported on Kay December 31, 2019, tapova in these arments will be reported on the face of Kennedy December 31:2000 colpo se to the trading investice What should be opened to the above nedy's 120 income statement P+* L02) (Equity Investments Castle Holding lad the one peut E15.000 1.000 shares 15each 900 shares 20 each 500 shares Beach Company Ropes Company Clance Company Notrading investments at cont Falt value adjustment Nostrading imestest fair value 75009 Bring 2019. the following transactions took place. 1. Os Match 1. Rogers Company paid a 2 per stare dades 2 01 Apol 30. Caciemun Holdings sold 300 barn of Chase Copy Sorelt per shart On May 15. Castleman Holding purchased 100 shameless Els per dare A December 31, 2019, the shares had the following price personagens (19 and Chance EX During 3000, the following transactions took place 5. February 1 Castleman Holdings sold the remaining Chance for per Os Much 1, Rogers Company paid a 12 pershare dividend 2.On December 21. Evers Company declared a cash dividend of per hurt to be paid in the next December 31, 2020, the shares had the follow mg price pet shares alex Even E19 and Rogers 21 structions Pepere journal entries for each of the above transaction hope a partial statement of financial positie owing the most est account December 31 9. Bolesly describe how the accounting would change in the inimestest was clasified as trading 19 and 2009 P17.11 (LO2) (Investments Statement Presentation) Fernandez SA invested its exc equity investments during 2019. The business model for these investments is to promo on price changes. Instructions a. As of December 31, 2019. the equity investment portfolio consisted of the following Investment Quantity Cost 15,000 Lindsay Jones, Inc. 1.000 shares 40.000 Poley Corp 2,000 shares Arnold Aircraft 2,000 shares 72.000 Totals 127.000 Fair Value 21.000 42.000 60,000 123.000 What should be reported on Fernandez's December 31, 2019. statement of financial position b. During the year 2020. Fernandez sold 2,000 shares of Poley Corp. for 38.200 and putchas to these investments? What should be reported on Fernandez's 2019 income statement more shares of Lindsay Jones, Inc. and 1,000 shares of Duff Company. On December 31,300 Fernandez's equity investment portfolio consisted of the following. Investment Quantity Cost Fair Value 1,000 shares 15.000 Lindsay Jones, Inc. 33.000 2,000 shares Lindsay Jones, Inc. 40,000 Duff Company 1.000 shares 16,000 12,000 Arnold Aircraft 2,000 shares 72,000 22.000 Totals 136,000 94.000 20.000 What should be reported on Fernandez's December 31, 2020. statement of financial position? should be reported on Fernandez's 2020 income statement? c. During the year 2021, Fernandez sold 3.000 shares of Lindsay Jones, Inc. for 39.90 % 500 shares of Duff Company at a loss of 2,700. On December 31, 2021, Fernander's com investment portfolio consisted of the following. Investment Arnold Aircraft Duff Company Quantity 2,000 shares 500 shares Cost 72,000 8.000 Totals 80.000 Fair Value 82.000 6.000 88.000 What should be reported on the face of Fernandez's December 31, 2021. statement of financiu position? What should be reported on Fernandez's 2021 income statement? 119/202) (Financial Statement Presentation of Equity Investments) Kennedy Company has kollowing portfolio of trading investments at December 31, 2019. Percent Per Share Quantity Interest Cost Market 2.000 shares 8% $11 $16 5,000 shares 14% 23 19 4,000 shares 2% 31 24 On December 31, 2020, Kennedy's portfolio of trading investments consisted of the following Investment Frank. Inc. Ellis Corp. Mendota Company investments. Percent Interest Investment Ellis Corp Mendota Company Mendota Company Quantity 5.000 shares 4,000 shares 2.000 shares 14% 2% 1% Per Share Cost Market $23 $28 31 23 25 23 At the end of year 2020, Kennedy Company changed the classification of its investment in Frank, Inc. to ton-trading when the shares were selling for $8 per share. Instructions 2 What should be reported on Kennedy's December 31, 2019, statement of financial position relative to these equity investments? 1. What should be reported on the face of Kennedy's December 31, 2020, statement of financial po- sition relative to the trading investments? What should be reported to reflect the transactions above in Kennedy's 2020 income statement? 11. inactment martfolio at P17.10 (L02) (Equity Investments) Castleman Holdings had the following investment portfolio at January 1, 2019. 1.000 shares @ 15 each 900 shares @ 20 each 500 shares @ 9 each Evers Company Rogers Company Chance Company Non-trading investments at cost Fair value adjustment Non-trading investments at fair value 15,000 18.000 4,500 37.500 (7,500) 30.000 During 2019, the following transactions took place. 1. On March 1, Rogers Company paid a 2 per share dividend. 2. On April 30. Castleman Holdings sold 300 shares of Chance Company for 11 per share. 3. On May 15, Castleman Holdings purchased 100 more shares of Evers Co. at 16 per share. 4. At December 31, 2019, the shares had the following price per share values: Evers 17, Rogers 19. and Chance 8. During 2020, the following transactions took place. On February 1, Castleman Holdings sold the remaining Chance shares for 8 per share. 6. On March 1, Rogers Company paid a 2 per share dividend. 7. On December 21, Evers Company declared a cash dividend of 3 per share to be paid in the next 8. At December 31, 2020, the shares had the following price per shares values: Evers 19 and month. Rogers 21. Instructions a. Prepare journal entries for each of the above transactions. b. Prepare 2019 and 2020. a partial statement of financial position showing the Investments account at December 31, c. Briefly describe how the accounting would change if the Evers investment was classified as trading. NO Financial Statement Presentation of Equity Investment Ch pe of trading ve December , 2019 Per Shar Com 2.000 shares 511 316 5.000 hrs 19 4000 Perons Car endy her sl2011. Kennedy's portfolio of agische Parc Clay Per Com 3.000 shares 14 523 4000 shares 11 2000 has 15 25 year 2100, Kennedy Company changed the of heatheures were being for perse Company Company 23 stions bol bereported on Kay December 31, 2019, tapova in these arments will be reported on the face of Kennedy December 31:2000 colpo se to the trading investice What should be opened to the above nedy's 120 income statement P+* L02) (Equity Investments Castle Holding lad the one peut E15.000 1.000 shares 15each 900 shares 20 each 500 shares Beach Company Ropes Company Clance Company Notrading investments at cont Falt value adjustment Nostrading imestest fair value 75009 Bring 2019. the following transactions took place. 1. Os Match 1. Rogers Company paid a 2 per stare dades 2 01 Apol 30. Caciemun Holdings sold 300 barn of Chase Copy Sorelt per shart On May 15. Castleman Holding purchased 100 shameless Els per dare A December 31, 2019, the shares had the following price personagens (19 and Chance EX During 3000, the following transactions took place 5. February 1 Castleman Holdings sold the remaining Chance for per Os Much 1, Rogers Company paid a 12 pershare dividend 2.On December 21. Evers Company declared a cash dividend of per hurt to be paid in the next December 31, 2020, the shares had the follow mg price pet shares alex Even E19 and Rogers 21 structions Pepere journal entries for each of the above transaction hope a partial statement of financial positie owing the most est account December 31 9. Bolesly describe how the accounting would change in the inimestest was clasified as trading 19 and 2009 P17.11 (LO2) (Investments Statement Presentation) Fernandez SA invested its exc equity investments during 2019. The business model for these investments is to promo on price changes. Instructions a. As of December 31, 2019. the equity investment portfolio consisted of the following Investment Quantity Cost 15,000 Lindsay Jones, Inc. 1.000 shares 40.000 Poley Corp 2,000 shares Arnold Aircraft 2,000 shares 72.000 Totals 127.000 Fair Value 21.000 42.000 60,000 123.000 What should be reported on Fernandez's December 31, 2019. statement of financial position b. During the year 2020. Fernandez sold 2,000 shares of Poley Corp. for 38.200 and putchas to these investments? What should be reported on Fernandez's 2019 income statement more shares of Lindsay Jones, Inc. and 1,000 shares of Duff Company. On December 31,300 Fernandez's equity investment portfolio consisted of the following. Investment Quantity Cost Fair Value 1,000 shares 15.000 Lindsay Jones, Inc. 33.000 2,000 shares Lindsay Jones, Inc. 40,000 Duff Company 1.000 shares 16,000 12,000 Arnold Aircraft 2,000 shares 72,000 22.000 Totals 136,000 94.000 20.000 What should be reported on Fernandez's December 31, 2020. statement of financial position? should be reported on Fernandez's 2020 income statement? c. During the year 2021, Fernandez sold 3.000 shares of Lindsay Jones, Inc. for 39.90 % 500 shares of Duff Company at a loss of 2,700. On December 31, 2021, Fernander's com investment portfolio consisted of the following. Investment Arnold Aircraft Duff Company Quantity 2,000 shares 500 shares Cost 72,000 8.000 Totals 80.000 Fair Value 82.000 6.000 88.000 What should be reported on the face of Fernandez's December 31, 2021. statement of financiu position? What should be reported on Fernandez's 2021 income statement? 119/202) (Financial Statement Presentation of Equity Investments) Kennedy Company has kollowing portfolio of trading investments at December 31, 2019. Percent Per Share Quantity Interest Cost Market 2.000 shares 8% $11 $16 5,000 shares 14% 23 19 4,000 shares 2% 31 24 On December 31, 2020, Kennedy's portfolio of trading investments consisted of the following Investment Frank. Inc. Ellis Corp. Mendota Company investments. Percent Interest Investment Ellis Corp Mendota Company Mendota Company Quantity 5.000 shares 4,000 shares 2.000 shares 14% 2% 1% Per Share Cost Market $23 $28 31 23 25 23 At the end of year 2020, Kennedy Company changed the classification of its investment in Frank, Inc. to ton-trading when the shares were selling for $8 per share. Instructions 2 What should be reported on Kennedy's December 31, 2019, statement of financial position relative to these equity investments? 1. What should be reported on the face of Kennedy's December 31, 2020, statement of financial po- sition relative to the trading investments? What should be reported to reflect the transactions above in Kennedy's 2020 income statement? 11. inactment martfolio at P17.10 (L02) (Equity Investments) Castleman Holdings had the following investment portfolio at January 1, 2019. 1.000 shares @ 15 each 900 shares @ 20 each 500 shares @ 9 each Evers Company Rogers Company Chance Company Non-trading investments at cost Fair value adjustment Non-trading investments at fair value 15,000 18.000 4,500 37.500 (7,500) 30.000 During 2019, the following transactions took place. 1. On March 1, Rogers Company paid a 2 per share dividend. 2. On April 30. Castleman Holdings sold 300 shares of Chance Company for 11 per share. 3. On May 15, Castleman Holdings purchased 100 more shares of Evers Co. at 16 per share. 4. At December 31, 2019, the shares had the following price per share values: Evers 17, Rogers 19. and Chance 8. During 2020, the following transactions took place. On February 1, Castleman Holdings sold the remaining Chance shares for 8 per share. 6. On March 1, Rogers Company paid a 2 per share dividend. 7. On December 21, Evers Company declared a cash dividend of 3 per share to be paid in the next 8. At December 31, 2020, the shares had the following price per shares values: Evers 19 and month. Rogers 21. Instructions a. Prepare journal entries for each of the above transactions. b. Prepare 2019 and 2020. a partial statement of financial position showing the Investments account at December 31, c. Briefly describe how the accounting would change if the Evers investment was classified as trading
