Question 1 View Policies Current Attempt in Progress On August 1.2020, Orole Ltd. purchased a cal option from DDR Investments Corporation. The option gav Orlicthergy to buy 18,000 shares in a third company MGL Lud, at a price of $22.25 por share. On the day Orial purchased the option, MGL shares were trading at $22.25 cach.Orio c paid $700 for the options. On August 31, 2020, the MGL shares were trading At $24.75 cach, and the options for MCL shares were trading : $41,500 on September 15, Orolesented the options in cash when the MGLares were trading At $25.75 and the options were trading at $63,000 Preare the journal entries to record the above actions. I t is an automaty www mwisant . Donatit i fnoantry is w o rry for the countlesider for the Date ALA 1 Account Titles and Explanation Debit Credit (To record the acquisition of the optian.) Aue 31 To record the charge in value of the option) Sept (Torcord the change in value of the option) ( Trecord the same the cTextbook and Media Prewre the September 15 journal entry assuming Oricle accepted instead the shares in GL. Creat accountles are automatically indented when the amount is entered protinct uals i no entry is regare, select "No Entry for the courses and enter for the amounts) Date Account Titles and Explanation Sept. 15 Dabit Credit To record the change in wlue of the option) corske del very of the shares eing the option. Question 1 View Policies Current Attempt in Progress On August 1.2020, Orole Ltd. purchased a cal option from DDR Investments Corporation. The option gav Orlicthergy to buy 18,000 shares in a third company MGL Lud, at a price of $22.25 por share. On the day Orial purchased the option, MGL shares were trading at $22.25 cach.Orio c paid $700 for the options. On August 31, 2020, the MGL shares were trading At $24.75 cach, and the options for MCL shares were trading : $41,500 on September 15, Orolesented the options in cash when the MGLares were trading At $25.75 and the options were trading at $63,000 Preare the journal entries to record the above actions. I t is an automaty www mwisant . Donatit i fnoantry is w o rry for the countlesider for the Date ALA 1 Account Titles and Explanation Debit Credit (To record the acquisition of the optian.) Aue 31 To record the charge in value of the option) Sept (Torcord the change in value of the option) ( Trecord the same the cTextbook and Media Prewre the September 15 journal entry assuming Oricle accepted instead the shares in GL. Creat accountles are automatically indented when the amount is entered protinct uals i no entry is regare, select "No Entry for the courses and enter for the amounts) Date Account Titles and Explanation Sept. 15 Dabit Credit To record the change in wlue of the option) corske del very of the shares eing the option
