Question
Purchased $90,000 of Dream Inc. 10-year, 5% bonds, directly from the issuing company, at their face amount plus accrued interest of $375. The bonds are
Purchased $90,000 of Dream Inc. 10-year, 5% bonds, directly from the issuing company, at their face amount plus accrued interest of $375. The bonds are classified as a held-to-maturity long-term investment.7Sold, at $38 per share, 2,600 shares of treasury common stock purchased on Jun. 8.14Received a dividend of $0.60 per share from the Solstice Corp. investment on Jun. 1.29Sold 1,000 shares of Solstice Corp. at $45, including commission.31Recorded the payment of semiannual interest on the bonds issued on May 1 and the amortization of the premium for six months. The amortization is determined using the straight-line method.Dec.31Accrued interest for three months on the Dream Inc. bonds purchased on Oct. 1.31Pinkberry Co. recorded total earnings of $240,000. Equinox Products recorded equity earnings for its share of Pinkberry Co. net income.31The fair value for Solstice Corp. stock was $39.02 per share on December 31, 2016. The investment is adjusted to fair value, using a valuation allowance account. Assume Valuation Allowance for Available-for-Sale Investments had a beginning balance of zero.
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