Quan Corp. manufactures construction equipment.

Feb.	2	Purchased for cash 5,500 shares of Celeste Inc.s common stock for $21 per share plus a $105 brokerage commission. Celeste Inc. has 83,000 shares of common stock outstanding.
Mar.	6	Received dividends of $0.35 per share on Celeste Inc. stock.
June	7	Purchased 2,000 shares of Celeste Inc. stock for $24 per share plus a $125 brokerage commission.
July	26	Sold 6,000 shares of Celeste Inc. stock for $35 per share less a $115 brokerage commission. Quan assumes that the first investments purchased are the first investments sold.
Sept.	25	Received dividends of $0.40 per share on Celeste Inc. stock.
Dec.	31	At the end of the accounting period, the fair value of the remaining 1,500 shares of Celeste Inc. stock was $37,890.

Required:

Journalize the entries to record the above selected equity investment transactions completed by Quan during a recent year using the fair value method. Refer to the chart of accounts for the exact wording of the account titles. CNOW journals do not use lines for journal explanations. Every line on a journal page is used for debit or credit entries. CNOW journals will automatically indent a credit entry when a credit amount is entered. Round your intermediate calculations to two decimal places. When required, round final answers to the nearest dollar.

Chart of Accounts

CHART OF ACCOUNTS

Quan Corp.

General Ledger

	ASSETS
110	Cash
111	Petty Cash
120	Accounts Receivable
121	Allowance for Doubtful Accounts
131	Notes Receivable
132	Interest Receivable
141	Merchandise Inventory
145	Office Supplies
146	Store Supplies
151	Prepaid Insurance
161	Investments-Celeste Inc. Stock
165	Valuation Allowance for Equity Investments
166	Valuation Allowance for Available-for-Sale Investments
181	Land
191	Store Equipment
192	Accumulated Depreciation-Store Equipment
193	Office Equipment
194	Accumulated Depreciation-Office Equipment

	LIABILITIES
210	Accounts Payable
221	Notes Payable
231	Interest Payable
241	Salaries Payable
251	Sales Tax Payable

	EQUITY
311	Common Stock
312	Paid-In Capital in Excess of Par-Common Stock
321	Preferred Stock
322	Paid-In Capital in Excess of Par-Preferred Stock
331	Treasury Stock
332	Paid-In Capital from Sale of Treasury Stock
340	Retained Earnings
350	Unrealized Gain (Loss) on Available-for-Sale Investments
351	Cash Dividends
352	Stock Dividends

	REVENUE
410	Sales
611	Interest Revenue
612	Dividend Revenue
621	Income of Celeste Inc.
631	Gain on Sale of Investments
641	Unrealized Gain on Equity Investments

	EXPENSES
511	Cost of Merchandise Sold
512	Bad Debt Expense
515	Credit Card Expense
516	Cash Short and Over
520	Salaries Expense
531	Advertising Expense
532	Delivery Expense
533	Repairs Expense
534	Selling Expenses
535	Rent Expense
536	Insurance Expense
537	Office Supplies Expense
538	Store Supplies Expense
561	Depreciation Expense-Store Equipment
562	Depreciation Expense-Office Equipment
590	Miscellaneous Expense
710	Interest Expense
721	Loss of Celeste Inc.
731	Loss on Sale of Investments
741	Unrealized Loss on Equity Investments

Journal

Journalize the entries to record the transactions. Refer to the chart of accounts for the exact wording of the account titles. CNOW journals do not use lines for journal explanations. Every line on a journal page is used for debit or credit entries. CNOW journals will automatically indent a credit entry when a credit amount is entered. Round your intermediate calculations to two decimal places. When required, round final answers to the nearest dollar.

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JOURNAL

ACCOUNTING EQUATION

	DATE	DESCRIPTION	POST. REF.	DEBIT	CREDIT	ASSETS	LIABILITIES	EQUITY
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